- The ECC approves a 10% increase in gas prices for bulk consumers.
- Okes TSG of RS15.839BN for the Ministry of Defense.
- Approves the shape of the body to assess the possibility of importing sugar.
Islamabad: The Cabinet’s Economic Coordination Committee (ECC) approved on Friday a revised natural gas price structure for the year 2025-26, allowing an increase in bulk consumer prices.
The ECC, which met under the presidency of the Minister of Finance and Income, Senator Muhammad Aurangzeb followed a summary submitted by the oil division concerning the adjustment of gas rates.
Under the Ordinance on the Authority for the Petroleum and Gas Regulation (OGRA), the Federal Government is required to notify the revised consumer gases prices within 40 days of the determination of S to guarantee cost recovery and regulatory compliance.
This decision is also aligned with the structural references agreed with the International Monetary Fund (IMF), including the rationalization of captive power prices and a passage from cross subsidies to direct and targeted support for low -income consumers.
According to a press release published by the Ministry of Finance, the ECC has decided to maintain gas prices for household consumers, with only fixed costs readjusted in the internal sector to recover the costs of assets.
It has approved an average increase of 10% of gas prices for bulk consumers, power plants operating on natural gas and the industrial sector.
The Committee also granted the approval of the principle to a risk coverage regime for small farmers and poorly served areas, is expected to provide 750,000 new agricultural borrowers in the formal financial system and generate additional credit on three years.
The program should be launched on August 14, 2025, pending new refinements and the inclusion of guarantees.
In addition, the ECC examined and approved several additional technical subsidies (TSG) for various ministries, including RS15.839 billion for the Ministry of Defense, RS829.67 billion and RS1.774.20 billion for the finance division for the reimbursement of the debt, RS1.765 billion for the division of the Ministry of the Suparco.
The ECC has also approved the training of a steering committee to assess the possibility of sugar imports to stabilize prices and ordered the State Bank and the Finance Division to present an incentive regime to funds revised by July 31.
The meeting was followed by the Minister of Power Sardar Awais Leghari, the Minister of Petroleum Ali Pervaiz Malik and SAPM on the Haroon Akhtar Khan industries, among others.