The government is considering replacing the existing slab-based gas pricing system with a single price for all consumers, Federal Minister for Petroleum Ali Pervaiz Malik said.

Under the proposed approach, vulnerable consumers could receive targeted financial support through social protection programmes instead of broad-based gas subsidies.

Malik said the current slab-based system needs to be reviewed, arguing that a fairer single price could encourage economic activity and discourage consumers from switching to alternative fuels.

SSGCL reforms discussed

The minister made the remarks while chairing a meeting with the Sui Southern Gas Company Limited (SSGCL) board, management and senior officials in Karachi.

The meeting reviewed the company's performance, operational challenges and plans for long-term reforms. Malik directed the board to develop a sustainable business model, particularly by reducing unaccounted-for gas and improving financial performance while maintaining public service.

Officials told the meeting that SSGCL had reduced unaccounted-for gas by around 57% in volume terms. They also said there was currently no gas load-shedding for K-Electric, industrial consumers and fertiliser plants, while domestic consumers were receiving gas three times a day.

Gas sector reforms continue

Malik said gas prices had not been increased for the past year and that the rise in gas circular debt had almost been halted.

He added that the government was working with the World Bank on broader gas-sector reforms to address structural problems and improve efficiency and financial sustainability.

Balochistan supply prioritised

The minister also directed officials to address gas supply problems in Balochistan, including technical issues, infrastructure limitations and gas theft.

He stressed that public service must remain SSGCL's top priority as the government works to make the gas sector financially sustainable.