Pakistan reviews roadmap for gas sector restructuring and deregulation

Pakistan’s Finance Minister, Senator Muhammad Aurangzeb, has reviewed a proposed roadmap for the restructuring and deregulation of the national gas sector. The reform initiative aims to create a competitive and financially sustainable gas market by increasing private-sector participation and improving operational efficiency.

The proposed framework addresses several critical sectoral challenges, including circular debt, cross-subsidies, supply-demand imbalances, and unaccounted-for-gas (UFG) losses. Key objectives of the transition include enhancing energy security, reducing fiscal and sovereign risks, and ensuring more stable gas pricing.

By implementing performance-based incentives and stronger efficiency benchmarks, the reforms seek to lower system losses and provide exporters with better access to competitively priced gas. The Minister emphasized the need for a practical architecture that aligns all stakeholders while protecting consumer welfare.