The Petroleum Division has finalized a roadmap for the deregulation of Pakistan’s gas sector with technical support from the World Bank, with phased implementation to begin after approval from the prime minister.
According to a statement issued by the Petroleum Division, a key meeting on gas sector reforms was chaired by Federal Minister for Petroleum Ali Pervaiz Malik and attended by the World Bank’s country director.
Officials said the restructuring and unbundling of the Sui gas companies forms a central part of the reform plan.
Under the proposed reforms, the transmission, distribution, and energy businesses of the Sui companies will be separated.
The subsidy mechanism will also be overhauled to ensure that only eligible consumers receive targeted relief.
The government also plans to gradually move toward a market-clearing gas price, as part of efforts to deregulate the sector.
The Petroleum Division said the World Bank provided technical assistance and shared international best practices during the preparation of the reform plan.
According to the statement, the roadmap will be submitted to the prime minister for approval later this month. Once approved, the reforms will be implemented in phases.
Ali Pervaiz Malik said the government aims to establish a competitive, transparent, and efficient gas market while introducing deregulation alongside a strong regulatory framework.
He added that the role of the Oil and Gas Regulatory Authority (OGRA) would be further strengthened to ensure effective oversight of a competitive gas market.
The minister also said the reforms would create new opportunities for private sector investment and participation, improve energy security, enhance pricing transparency, strengthen the financial position of the Sui companies, and generate new employment opportunities.
