ISLAMABAD: Federal Minister for Petroleum and Natural Resources Shahid Khaqan Abbasi has said that the federal government will not increase gas prices, ARY News reported on Wednesday.
Talking to media Abbasi said that Prime Minister Nawaz Sharif has rejected Oil and Gas Regulatory Authority’s (OGRA) summary recommending hike in gas tariffs.
The minister said that there is a 40 percent shortfall in demand and supply of gas in Punjab.
Abbasi had earlier said that the government has decided not to hike gas tariff for the next six months.
Oil and Gas Regulatory Authority (OGRA) had suggested the government to increase gas prices by 14 percent. The regulatory authority had recommended hike in gas rates as Sui Northern Gas Company (SNGC) and Sui Southern Gas Company (SSGC) are facing financial problems.
“The shortfall in the revenue can be addressed by keeping the current rates unchanged,” the minister said.
He claimed that the success rate of the exploration of oil and gas deposits in the country has been increased by 55 percent.