Govt preparing policy to protect low-income households from rising LPG prices
Petroleum Minister Ali Pervaiz Malik told the National Assembly that a policy is being prepared to shield low-income households from rising LPG prices. He said a comprehensive policy would be presented soon.
- Minister says policy being prepared for low-income households
- OGRA's notified rate of Rs280 applies to locally produced LPG
- Around 900 MMCFD of Qatari gas supply suspended due to the war
Federal Minister for Petroleum Ali Pervaiz Malik told the National Assembly on Monday that the government was preparing a policy to protect low-income households from rising liquefied petroleum gas (LPG) prices.
He was responding to a Calling Attention Notice on the sharp increase in LPG prices. The minister said Prime Minister Shehbaz Sharif had already held two to three meetings on the issue and was fully aware of the difficulties faced by consumers. He said progress would be visible soon.
Mr Malik said the Oil and Gas Regulatory Authority's (OGRA) notified rate of Rs280 applied to locally produced LPG, while no policy was currently in place for imported LPG.
On pricing, he said the price of locally produced LPG was also linked to the international contract price set by Saudi Aramco. The international benchmark had risen to $705 per tonne, he said, contributing to changes in notified prices.
The minister said the proposed policy would consider supply difficulties through land borders and arrangements to import alternative supplies from Oman and Saudi Arabia. He said the government was also examining additional costs linked to LPG supplies, as there was no adequate mechanism to cover them.
He added that locally produced and imported LPG could not be treated differently in the market, so enforcement action by OGRA could create further complications. The government was working on a mechanism to ensure fair competition while providing subsidised fuel to vulnerable households.
Mr Malik also said Pakistan's gas supply had been affected by the suspension of around 900 million cubic feet per day (MMCFD) of supplies from Qatar due to the war, forcing the government to ration available gas. He acknowledged that demand for alternative fuels would rise as winter approached.
Separately, the National Assembly on Monday passed seven government bills by majority vote, including the Frontier Constabulary (Re-organization) Bill, 2025. When the National College of Arts Institute (Amendment) Bill, 2025 was taken up, MNA Sohail Sultan pointed out a lack of quorum.
Why it matters
Rising LPG prices affect low-income households in Pakistan that rely on cooking gas, and gas rationing is in place as winter nears.
