LAHORE: The federal government has approved increase in gas prices by 193%, sources said.

Fixed charges on gas meter will be increased from Rs10 to Rs.400 per month, sources added.

Increase in gas prices will be applicable from November 1.

Earlier on Monday, the Economic Coordination Committee (ECC) of the Cabinet here on Monday approved various summaries including revision of natural gas pricing, immediate import of 200,000 MT of urea fertilizer and 1.00MMT of milling wheat for fiscal year 2023-24.

The Caretaker Federal Minister for Finance, Revenue, and Economic Affairs, Dr. Shamshad Akhtar presided over the meeting, according to press statement issued by the finance ministry.

The Ministry of Industries and Production had submitted a summary regarding the measures to meet the requirements of urea for Rabi season 2023-24. The ECC discussed the proposal in detail and approved immediate import of 200,000 MT of Urea fertilizers.

The committee also directed for ensuring uninterrupted supply of gas for the fertilizer industry and it was also decided that the provinces will be asked to act more proactively to bear the importation cost.

A summary submitted by the Ministry of Energy (Petroleum Division) regarding the revision of the natural gas sale pricing for the FY 2023-24, was also approved as per the tariff schedule submitted by the Ministry, prospectively w.e.f. 1st November, 2023, instead of 1st October, 2023.

The ECC also approved the summary submitted by the Ministry of National Food Security and Research regarding the cost efficient import of 1.00 MMT of milling wheat for the year 2023-24, through TCP under through open tendering process, to maintain the strategic reserves.

The ECC also approved the proposal for encouraging the private sector to import specified milling wheat under Ministry of Finance Notification of 14th November 2008, while meeting the criteria envisaged in the import policy order 2022.

The ECC also directed the Ministry to conduct a third party verification of the wheat stock in the country, the statement added.

The cabinet committee also deliberated over a summary submitted by the Earthquake Reconstruction and Rehabilitation Authority (ERRA) for approval of the Technical supplementary Grant of Rs. 484 Million to meet critical expenditure on pay and allowances of 415 contract and project employees from July 2023 onwards.

The ECC directed the Ministry of Planning, Development and Special Initiatives to identify the savings to finance the salaries of the ERRA employees.

A summary of Ministry of Finance regarding the establishment of the National Credit Guarantee Company Limited to support the credit enhancement of the Small and medium enterprises (SMEs) was also approved by the forum.

Among others, the meeting was attended by caretaker ministers including Minister for Commerce, Industries, & Production, Gohar Ijaz; Minister for Communications, Railways and Maritime Affairs, Shahid Ashraf Tarar; Minister of Planning, Development and Special Initiatives, Sami Saeed; Minister for Power & Petroleum, Muhammad Ali; Minister for IT & Telecom, Dr. Umar Saif; Advisor to PM on Finance, Dr. Waqar Masood; Deputy Chairman Planning Commission, Muhammad Jahanzaib Khan; Chairman SECP, Federal Secretaries, and other senior government officials of the relevant ministries.