ISLAMABAD – The federal government has decided to increase gas load-shedding hours during this winter season due to high demand and depleting gas reserves.
During the winter season, domestic consumers will be provided gas for only eight hours daily in the morning, at noon and in the evening. Ban on new gas connections will continue.
Caretaker Minister for Energy Muhammad Ali said that uninterrupted gas supply was not possible in winter due to high demand and fast-depleting reserves.
Due to the prevailing scenario, he said, domestic consumers needed alternative sources to meet their gas requirements.
As per media reports, Muhammad Ali said that the government has procured two gas cargoes for December from the spot market and two more would be purchased for January.
Referring to the increase in gas tariffs, he said that the move was aimed at reducing the gas sector circular debt which has reached Rs2.1 trillion.
He said that the government was promoting exploration activities to decrease reliance on imported LNG.
He said that the gas sector was incurring an annual loss of Rs400 billion while gas companies are responsible for Rs190 billion annual loss.
He said that the government was facing an Rs210 billion loss in LNG due to cost differences.
Ali also mentioned that a Pakistani oil refinery has entered into an agreement with Russia to import nine million barrels annually which would result in potential savings of up to $15 per barrel
