The Economic Coordination Committee (ECC) has approved an increase in gas prices for consumers.
The committee met under the chairmanship of Dr. Abdul Hafeez Shaikh, Advisor to Prime Minister on Finance, on Wednesday.
During the meeting, a proposal to increase the gas prices was tabled. Some committee members opposed the summary but it was approved by the majority.
While there is no official word on the increased prices, some media reports suggest that the approval may prompt a hike of up to 190 percent for domestic users. Another 31 percent raise has also been approved for other gas consumers.
The new prices will be implemented from the first of July.
According to reports, an increase in gas price for domestic consumers was among IMF’s preconditions for a $6 billion bailout. The move is expected to collect extra revenue of Rs. 500 billion.
The coordination committee will review the gas prices again in December.
It should be mentioned here that the incumbent government in September 2018 has increased gas prices by up to 143 percent for high-usage consumers. However, it had kept a minimum burden – up to 10 % – on low-volume consumers (50 cubic meters).