Pakistan is considering a major change to its gas pricing structure, with the Petroleum Division reportedly planning to introduce a uniform gas tariff from July 1, 2027. The proposed reform is expected to be discussed with the International Monetary Fund (IMF) as part of broader efforts to restructure the country’s energy pricing system.
Under the proposed Pakistan gas tariff 2027 framework, the government would move away from the existing cross-subsidy mechanism. Instead, financial assistance could be provided directly to low-income households through a targeted support programme.
The reported plan could require around Rs162 billion to support vulnerable consumers. Rather than keeping subsidies within the gas tariff itself, the proposed approach would separate consumer assistance from the pricing structure and target support at households that need it most.
Another major change would involve Pakistan’s existing 12-slab gas tariff system. At present, domestic consumers are charged according to different consumption slabs, meaning the applicable rate changes as monthly gas usage increases. The proposed reform would gradually replace this structure with a more uniform pricing model.
Under the reported proposal, consumers across different categories could gradually move toward an average tariff of approximately Rs1,708 per MMBTU. The exact impact on individual households would depend on future tariff decisions, consumption levels and the mechanism used to provide targeted assistance.
