ISLAMABAD - Much to the dismay of gas consumers, the federal government on New Year has jacked up the gas prices from 13 to 207 percent for all users along with imposing gas infrastructure cess (GIC) on five different sectors.
This shocking disclosure to the over-burdened gas consumers is certain to ruin the celebrations and joy of the New Year as the government has made gas price record expansive. Resultantly, after the notification of this massive hike by Ogra, now CNG will be available at Rs74.30 per kg in KPK, Balochistan and Potohar Region (Rawalpindi, Islamabad and Gujar Khan) while the commodity will be available at Rs69.62/kg in Sindh and Punjab (excluding Potohar Region).
Ogra at the advice of petroleum ministry has made massive surge in the price of gas through a notification where gas infrastructure cess was not included, sources informed The Nation. However, petroleum ministry later issued a notification of imposing GIC on five different sectors. But a strong public response led the ministry to reduce the margin of GIC to 40 percent within an hour after the issuance of Ogra notification.
Following the notifications by Ogra and petroleum ministry, a record raise of 13.98 percent in the gas prices for both domestic and commercial consumers, 16.97 percent for the industrial sector and 207.10 percent for the fertiliser sector has been made. Similarly, the price hike for Independent Power Producers (IPPs) is 34.57 percent, cement industry 13.98 percent and CNG consumers 23.25 percent while for WAPDA and KESC the raise is 13.58 percent.
This will made availability of gas much expensive for the consumers in general. In this way, GIC worth of Rs13 has been imposed on industrial sector, Rs27 on Wapda and Karachi electric Supply Company (KESC), Rs70 on IPPs while Rs84.06/mmbtu after reduction from Rs141/mmbtu for CNG Region-I and Rs47.04/mmbtu after reduction for CNG Region-II has been imposed now.
Similarly, the tariff of domestic consumers has been further jacked up from 122.95/mmbtu that has now reached Rs1302/mmbtu, while tariff of commercial sector has now reached Rs600.19/mmbtu, and tariff of industrial, Wapda, KESC and IPPs has now has been set at Rs507.86/mmbtu. Again, tariff of cement has now risen to Rs694/mmbtu while it is now Rs792.80/mmbtu for CNG Region 1 and Rs730.80/mmbtu for CNG Region 2. Moreover, Rs313.27/mmbtu has been decided for old plants of fertilisers while for new fertiliser plants it has been set at Rs60.67/mmbtu. Furthermore, new gas tariff for Guddu units has been decided at Rs507.86/mmbtu.
CNG associations in a press conference have rejected this sudden and high raise and declared it a conspiracy backed by incumbent Petroleum Minister Dr Asim Hussain and ministry’s officials against the multibillion CNG businesses in order to benefit blue-eyed LPG mafia. The central chairman of All Pakistan CNG Association Giyas Abdullah Paracha underlined that two big LPG carriers (ships) are waiting at the port and incumbent minister is all out to earn kick backs through promoting LPG business at the cost of CNG business in the country.