A domestic LPG cylinder that cost around PKR 4,500 in Pakistan's Balochistan province has shot up to nearly PKR 7,000.
asserted
that → cost → 7,000
In some parts of the country, LPG prices have reached PKR 600 per kg, more than double the official rate.
asserted
prices → reach → kg
With supplies disrupted following the closure of key border crossings with Iran, households are struggling to find affordable cooking fuel.
asserted
households → disrupt → fuel
Some have even begun turning to wood and coal.
asserted
Some → begin → wood
But the shortage has exposed a much bigger problem.
asserted
shortage → expose → problem
Pakistan's domestic natural gas production has been declining, its dependence on expensive imports has grown, and debts across its gas sector have reached trillions of rupees.
asserted
debts → decline → rupees
Yet, even as households struggle with shortages, the country has also been dealing with surplus imported LNG that it cannot easily use or sell.
asserted
it → struggle → that
A supply shock ahead of winter
On October 21, 2026, Dawn reported that LPG prices had climbed to as much as PKR 600 per kg in hilly areas and PKR 500 per kg in Punjab and Khyber Pakhtunkhwa, even though the Oil and Gas Regulatory Authority (OGRA) had fixed the official October rate at around PKR 279 per kg.
asserted
Authority → report → kg
The regulator's notified price for an 11.8kg domestic cylinder was PKR 3,296.23.
asserted
price → notify → cylinder
The disruption has since intensified.
asserted
disruption → intensify → ?
Reuters reported on October 23 that the closure of the Gabd-Rimdan and Taftan crossings with Iran had halted LPG imports, leaving tankers stranded and worsening shortages.
asserted
closure → report → shortages
Traders said Pakistan imported about 7,000 metric tonnes of LPG a day from Iran.
asserted
Pakistan → say → Iran
In Balochistan, the price of a 12kg cylinder had risen from around PKR 4,500 to PKR 7,000.
asserted
price → rise → 7,000
Pakistan cited security and anti-smuggling concerns for the border closure, while Iran pointed to technical issues.
asserted
Iran → cite → issues
The two sides were consulting on resuming trade.
asserted
sides → consult → trade
Dawn reported on October 26 that households facing limited piped-gas supply and soaring LPG prices had begun turning to wood and coal for cooking.
asserted
households → report → cooking
Residents reported receiving natural gas for only about six hours a day, while LPG was selling at around PKR 600 per kg.
asserted
LPG → report → kg
First, understand the three fuels
Part of the confusion around Pakistan's gas crisis comes from the fact that three different fuels are often discussed as though they are interchangeable.
asserted
they → understand → fact
Pakistan's domestic production has been declining.
asserted
production → decline → ?
After arriving at a terminal, it is converted back into gas, known as regasified LNG or RLNG, and supplied through the network.
- LPG: Liquefied petroleum gas, made up mainly of propane and butane.
asserted
it → arrive → propane
It is stored in cylinders and is especially important for households that do not have piped-gas connections.
asserted
that → store → connections
The distinction matters because a disruption in one supply chain does not automatically mean the same thing for the others.
asserted
disruption → matter → others
The fuels nevertheless compete for the same household energy budget.
asserted
fuels → compete → budget
When piped gas is unavailable or supplied only for a few hours, families turn to LPG.
asserted
families → supply → LPG
When LPG becomes unaffordable, some shift to wood or coal.
asserted
some → become → wood
The result is that a supply shock in one part of the system can quickly affect everyday life.
asserted
shock → affect → life
Domestic gas is running out faster than new supplies are arriving
The Pakistan Institute of Development Economics (PIDE), a government-backed research institution, said domestic gas production fell from 3,597 million cubic feet per day in financial year 2020 to 2,890 million cubic feet per day in FY2025.
asserted
production → run → FY2025
PIDE attributed the fall to the depletion of mature fields and a failure of new discoveries to replace the lost output.
asserted
PIDE → attribute → output
Pakistan's domestic gas production falls 20% in five years
asserted
production → fall → years
The Pakistan Economic Survey 2024-25 offers another snapshot of the pressure on the system.
asserted
Survey → offer → system
It recorded average gas consumption of 3,143 million cubic feet per day during July-March FY2025, including 798 million cubic feet per day of imported RLNG.
asserted
It → record → RLNG
Domestic gas remained crucial, but imported supplies were already filling a substantial part of the gap.
asserted
supplies → remain → gap
This is not simply a matter of turning up production.
asserted
This → turn → production
Gas exploration requires investment, time and confidence that companies will be paid for what they produce.
asserted
they → require → what
PIDE has argued that payment delays, distorted price signals and the financial troubles of state-owned gas utilities have weakened incentives for investment.
asserted
delays → argue → investment
It has also highlighted the damage caused when domestic production is curtailed to make room for imported LNG.
asserted
production → highlight → LNG
The LNG paradox: Too little gas, then too much
Pakistan began importing LNG in 2015 as domestic production became insufficient.
asserted
production → begin → 2015
Its supply arrangements include long-term contracts with Qatar, one lasting 15 years and another 10 years, as well as an agreement with Italy's Eni.
asserted
arrangements → include → Eni
These contracts helped secure supplies, but they also reduced the government's flexibility when demand changed.
asserted
demand → help → flexibility
The problem became particularly visible in 2025.
asserted
problem → become → 2025
…and 42 more, not listed.
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