ISLAMABAD (Dunya News) - The federal government has imposed a permanent ban on new residential gas connections using local natural gas, and ordered the cancellation of 3 million pending applications.
According to reports, the Petroleum Division has sent a new policy framework, approved by the Federal Cabinet, to both Sui Southern Gas Company (SSGC) and Sui Northern Gas Pipelines Limited (SNGPL). Under this framework, local gas will no longer be used for new connections.
Both companies have been instructed to cancel the backlog of 3 million requests for gas connections. Moving forward, gas connections will only be provided using imported liquefied natural gas (LNG), and under nine specific conditions.
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The new policy allows SSGC and SNGPL to provide connections to 50% of applicants per year, but only if they pay an urgent processing fee. Such applicants will receive imported gas connections within three months.
Households that have had their gas disconnected for over a year will also be eligible for imported gas connections. However, the tariff for imported gas will be 70% higher than that of local gas.
This move is part of the federal government’s newly issued policy guidelines for managing residential gas supply amidst growing domestic gas shortages and rising reliance on imports.