The government has decided not to cut gas prices from July 1, 2024, in view of OGRA’s decision to cut gas prices by 10 percent for the next budget year.
Instead, as per the IMF order, it has hiked the gas price for Captive Power Plants (CPPs) to Rs 250 per mmbtu from the current price of Rs 2750 per mmbtu. It has been decided to increase it to Rs 3000 per mmbtu.
The government will increase the gas prices of captive power plants by Rs 250 per mmbtu from July 1, 2024 and the remaining increase of Rs 700 per mmbtu will be implemented from January 1, 2025.
The government has decided to maintain gas prices at current levels for all categories except CPPs and thus earn an additional revenue of Rs 110-115 billion after meeting the revenue requirements of the government for the next financial year. As expected.
