OGRA advises private investment in gas sector

ISLAMABAD: The Oil and Gas Regulatory Authority (OGRA) has advised government to invite private investment to tackle the gas crisis, citing sources ARY News reported on Sunday.

The regulator has forwarded various proposals to tackle the gas crisis in the country, sources said.

Recommending invitation to private investment in gas sector, OGRA has said that additional gas supply required private sector’s investment.

The gas regulator has also proposed policy guidelines for competition in gas sector. “There is big difference in the production cost and selling price of gas,” OGRA sources said. “Large scale cross subsidy being given to end this difference,” sources said.

OGRA sources have asked the federal government to formulate policy guidalines for private investment in gas sector. It has also advised steps for tariff rationalization of local and imported gas.

Pakistan is facing an acute energy crisis and the country required drastic structural reforms to address aggravating gas and power crises, which cost dearly to the economy of the country.