Further increase in gas prices expected in January, 2024
Gas loadshedding woes persist: Citizens grapple with 200% surge in bills
The International Monetary Fund (IMF) has urged the government to implement a further increase in gas prices starting January 1, 2024, in a bid to alleviate the mounting revolving debt, which has now reached a staggering 2050 billion rupees.
In a significant financial development, the government is poised to collect a staggering Rs980 billion rupees in the current fiscal year.
This ambitious target includes an additional 275 billion rupees expected to be generated through a substantial 193% increase in gas rates.
The estimated financial requirement for the national gas companies stands at 705 billion rupees.
The International Monetary Fund (IMF) has urged the government to implement a further increase in gas prices starting January 1, 2024, in a bid to alleviate the mounting revolving debt, which has now reached a staggering 2050 billion rupees.
Officials are contemplating a potential increase of up to 10.15 percent, aiming to secure an additional 100 billion rupees.
While no final decision has been reached, there is speculation about a more conservative 5% increase, which could yield an additional 50 billion rupees.
Senior officials from the Ministry of Energy disclosed that out of the 275 billion rupees generated from the unprecedented 193% rate hike on November 1, a substantial portion amounting to 210 billion rupees was earmarked for the transfer of Regasified Liquefied Natural Gas (RLNG) to the local sector during the winter.
However, the government encountered difficulties in the implementation process, resulting in a significant loss of 65 billion rupees.
