ISLAMABAD (Web Desk) - Gas prices for industrial consumers may decrease after the IMF approved a reduction in gas levy, offering potential relief to industries.
According to sources in the Ministry of Petroleum, the IMF has approved a new formula for gas levy following a request by Federal Minister for Petroleum Ali Pervaiz Malik.
Under the revised formula, tariffs will now be set on an average basis, whereas previously the levy was linked to peak hours.
Sources said the levy on captive power plants is expected to decrease by 30 to 60 percent.
However, a condition has been imposed that electricity demand from the national grid should not decline.
Officials warned that if demand for grid electricity decreases, the levy could be increased again. The objective of the gas levy is to shift industries towards the national grid, as high electricity costs have created challenges for the industrial sector.
Currently, a levy of Rs1,343 per MMBTU is imposed on captive power plants.
The government has set a target of generating Rs105 billion from this levy in the current fiscal year. Previously, the levy rate was fixed at Rs690 per MMBTU for August 2025, Rs570 for April, Rs550 for May and Rs402 for June.