government implements new gas tariff to benefit export industry
In a recent development, the caretaker government has taken the decision to introduce a new gas tariff specifically targeted at the export industry. This decision is expected to have a huge impact on the economic landscape.which can affect not only the export industry but also the domestic non-export sectors. The move comes after a series of discussions and deliberations on the existing gas tariffs.
According to reliable sources, the government is poised to reverse its earlier decision to set the gas tariff at Rs 2600 per MMBtu for non-export industries.
This decision has caused a lot of disagreement and led to an urgent meeting of the Economic Coordination Committee (ECC). The ECC is likely to quickly approve the new gas price recommendations.
The suggested changes to the gas prices are quite significant. A suggestion has been made to the committee to set the cost of gas for industries that don’t export their products in the range of 2100 to 2200 MMBtu. This change would mean a big drop from the earlier proposal, reducing it from 1400 to 900. This move is meant to find a fair balance between what businesses and consumers pay for gas.
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Right now, the cost of gas for companies that export their products is 1100 rupees per MMBtu. The new gas prices will start on November 1 this can change the cost of emergency for companies that focus on exporting their goods.
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The government’s choice to delay the increase in gas prices, shows how complicated it is to manage the country’s energy prices. Figuring out the right gas prices is a constantly changing area of government policy.