Gas prices frozen for six months, NA panel told

Committee reviews LNG diversion deal with Qatar and cut in UFG losses

ISLAMABAD:

The 12th meeting of the National Assembly Standing Committee on Petroleum was held under the chairmanship of Syed Mustafa Mehmood, during which key developments in the gas and LNG sector were reviewed.

According to an official statement issued on Tuesday, Federal Minister for Petroleum Ali Pervaiz Malik informed the committee that negotiations with Qatar had been concluded to divert Pakistan's surplus LNG cargoes to the international market, while remaining within contractual obligations. He said Qatar had remained a reliable supplier and had honoured its commitments at a time when several global suppliers defaulted. He added that Pakistan had reached a mutually acceptable arrangement with Qatar regarding excess LNG cargoes. Briefing the committee on recent policy measures, the minister said that, on the directions of Prime Minister Shehbaz Sharif, gas prices would not be increased for the next six months in any category. Gas prices will remain unchanged for all consumers for the next six months of the current fiscal year, he said.

The minister further stated that the flow of circular debt in the gas sector had been contained and that no fresh circular debt was being created. He added that enhanced gas supply was being provided to domestic consumers across the country and that no domestic gas field was currently under curtailment. He also informed the committee that gas was being supplied to the power sector beyond its Integrated Generation Capacity Expansion Plan (IGCEP) demand in order to avoid loadshedding.

The managing directors of the Sui gas companies briefed the committee on operational improvements. It was stated that enhanced gas supply was being provided to domestic consumers nationwide, in line with the prime minister's directions, to ensure relief to the public during the winter season. Sui Northern Gas Pipelines Limited (SNGPL) reported a reduction in Unaccounted-for Gas (UFG) losses from 9% to 5%, while Sui Southern Gas Company (SSGC) informed the committee that its UFG losses had declined from 17% to 10%.

The committee was also informed that Internet of Things (IoT)-based monitoring systems, including Town Border Stations, had been deployed at tail ends of the gas network. These systems automatically generate alarms in case of pressure drops, enabling real-time monitoring of gas supply.