ISLAMABAD: The government has decided to replace the gas merit order with priority for distribution of gas for domestic, commercial including bread ovens and industry for processing purposes.
A senior official of the Ministry of Energy told The News that the Special Investment Facilitation Council (SIFC) has approved changes in the gas merit order in this regard.
The Petroleum Division has now prepared a summary which is being circulated to various Ministries and stakeholders for their comments and will soon be submitted to the ECC for approval.
He said that the Apex Committee of SIFC, chaired by the Prime Minister and attended by the Chief of Army Staff, in its 9th meeting approved the changes in the merit order of gas distribution. SIFC has approved new merits with priority for allocating gas to domestic and commercial, including ovens and industries primarily to stimulate economic activity at a certain pace and sustain it throughout the year. is to keep
He further said that we have removed the gap between exporting and non-exporting industries and brought them equal in gas rates. SIFC has approved.
He said that the domestic sector will also be at the top with 8 hours of gas availability depending on the availability of RLNG and the payment mechanism to receivers like PSO (Pakistan State Oil), Govt. Under the new merit order, it has been decided to place the power and fertilizer sectors second in the priority list for gas allocation, and for captive power plants industry has been placed third, cement fourth, and CNG fifth. Currently, the domestic and commercial sectors top the gas merit list followed by the power and export sectors.
The official said that there is also a need to limit the diversion of LNG to the domestic sector as SNGPL has diverted 19 LNG cargoes to the domestic sector this winter alone. There is an urgent need to limit the diversion of G cargoes to 10-12 hours to reduce gas availability to the domestic sector by six hours during cooking time, thereby causing non-recovery of RLNG costs to the government. will help reduce revolving credit