Pakistan increases CNG prices by Rs15 per kg

The Pakistan CNG Association has increased the price of compressed natural gas by R15 per kg across the country.

In an announcement on Tuesday, the association revealed that the price hike comes after an increase in the General Sales Tax collected on the liquid fuel by the government.

Ghayas Paracha, the chairperson of the All Pakistan CNG Association, said that sales tax on CNG has been doubled.

In Karachi and other cities of Sindh, CNG prices have been jacked up by Rs10.30 after which the price of the commodity reached an all-time high of Rs195. In Punjab and Islamabad, CNG now costs more than Rs150 per kg.

Earlier, sales tax on CNG for Region Two, which includes Punjab and Sindh, was Rs70.46 per kg. The levy in Region One, comprising Khyber Pakhtunkhwa, Balochistan, Rawalpindi, Islamabad, and Gujarat, was Rs128.11.

On Monday, Prime Minister Imran Khan rejected a summary, prepared by the Oil and Gas Regulatory Authority, which suggested that petrol prices be increased by Rs8.

On November 5, the federal government has increased petrol prices by Rs8 taking its price to a historic Rs145.82. Two days later, Pakistan reportedly accepted an LNG cargo at the highest price of $30.6 per Million British Thermal Units from Qatar Petroleum.

The deal was made to avert a potential gas shortage in the country. Back then, CNG dealers expressed concerns over a rise in CNG prices in the near future.