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Updated 11 Sep, 2025 07:44pm

Government lifts ban on new domestic gas connections

After three years, the federal government has decided to lift the ban on new gas connections for domestic consumers, with recommendations finalised for the revised policy.

Under the plan, households will be provided gas connections based on LNG tariffs.

According to officials of the Petroleum Division, the process of installing new domestic connections will begin in the next fiscal year.

A demand notice fee of Rs18,000 has been proposed for regular applications, while an urgent connection policy suggests a fee of Rs80,000.

The ban on new connections was imposed in 2021.

Thousands of applications, however, have remained pending with Sui Northern Gas Company since 2017.

Currently, 3.5 million domestic gas connection requests are pending across the country.

Out of these, around 250,000 applicants have deposited a demand notice fee ranging between Rs3,000 and Rs10,000, while about 4,000 applicants have paid an additional urgent fee of Rs25,000 each.

Officials said imported LNG connections for houses of 5 to 10 marlas will cost around Rs40,000, including Rs20,000 as demand notice and Rs20,000 as security fee.

For houses larger than 10 marlas, consumers will pay Rs23,000 for the demand notice and Rs20,000 as security deposit.

Old applicants will be required to make additional payments.

Whether the application is old or new, priority will be given to those who clear full payments upfront.

The government has also removed the annual cap of 100,000 new gas connections.

Officials estimate that the available LNG supply is sufficient to cover six million connections, but new installations will depend on the availability of meters with gas companies.

Once the federal cabinet formally approves the decision, gas companies will begin issuing demand notices and security fee details to consumers.

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