Islamabad: In a high-level meeting chaired by Federal Minister for Finance and Revenue, Senator Muhammad Aurangzeb, the government reviewed a roadmap for restructuring and deregulating Pakistan’s gas sector. The proposed reforms aim to enhance financial sustainability, operational efficiency, and consumer welfare while encouraging private-sector involvement.

According to Press Information Department, the meeting addressed key challenges such as circular debt, cross-subsidies, unaccounted-for-gas losses, and supply-demand imbalances. Participants deliberated on improving the financial viability of gas utilities and ensuring that financial pressures do not affect the proposed market structure or burden consumers. A sustainable resolution of legacy circular debt and cross-subsidies was deemed essential for the transition to a competitive market.

The expected outcomes of the reforms include enhanced energy security, increased private-sector investment, reduced fiscal risks, and more stable gas pricing. The framework also aims to improve access to competitively priced gas for exporters and lower system losses through efficiency benchmarks.

The Finance Minister highlighted the need for stakeholder alignment around a practical reform architecture. The framework draws on international examples while considering Pakistan’s unique market conditions. The next steps will involve presenting the framework to the Prime Minister and conducting further technical work and consultations.

The meeting included officials from the Petroleum and Finance Divisions, representatives of gas utilities, and the World Bank team, reaffirming the government’s commitment to advancing gas-sector reforms.