ISLAMABAD - The CNG Association has asked the government to waive off the additional/new taxes on the CNG sector, while the RLNG based gas stations are likely to seek a subsidy of $5 per mmbtu on LNG as the price of CNG is all set to go further up by Rs18 per litre in Punjab and Rs28 per kg in the province of Sindh. 
Following the notification of OGRA, the price of per litre CNG will jump to almost Rs125 in Punjab and Rs192 in Sindh which will be an unbearable blow to this industry; it will lay waste to Rs450 billion investment and it will result in a new and devastating wave of inflation, said the All Pakistan CNG Association (APCNGA) here on Friday. The All Pakistan CNG Association (APCNGA) on Friday said contrary to the vision of Prime Minister Imran Khan, the price of CNG has seen an unprecedented hike. 
Despite buying the costliest LNG, additional taxes have been slapped on the CNG sector which will make it dearer than petrol for the first time in the history of Pakistan, APCNGA said.
The price of gas will further increase in October and November if the process of buying costly LNG continued, said APCNGA leader Ghiyas Abdullah Paracha. 
He said that the sales tax and customs duty have been revised upward which will increase the price of the CNG by Rs18 per litre in Punjab and Rs28 per kg in the province of Sindh. 
The high price of CNG will make it unattractive for consumers that will result in the bankruptcy of this industry, leaving hundreds of thousands of people jobless.
He added that the dollar is gaining strength against local currency which is also contributing to the cost of fuel therefore government should act swiftly to save this industry from collapse.
Following the notification of OGRA, the price of per litre CNG will jump to almost Rs125 in Punjab and Rs192 in Sindh which will be an unbearable blow to this industry; it will lay waste to Rs450 billion investment and it will result in a new and devastating wave of inflation. 
He informed that a delegation of APCNGA has met with officials concerned and apprised them of the emerging situation which will result in the closure of CNG stations in Punjab and Sindh. 
Ghiyas Paracha said that the government is giving a subsidy of billion to other sectors which has increased their burden fourfold while increasing the price of CNG is discrimination. 
He said that the government has reduced petroleum levy to zero, sales tax has also been reduced on petrol, taxes on LPG has also been relaxed but taxes on CNG have been increased which is beyond understanding which will result in unprecedented inflation. 
Government should immediately intervene and take steps to keep the price of CNG at affordable limits as the leaders of APCNGA are holding meetings to find a solution to the problem.
Meanwhile, a source said due to abnormal increase in the spot LNG princes, CNG on the RLNG based stations lost its leverage over the use of petrol. Hundreds of CNG stations in Punjab and ICT are selling RLNG and currently the prices of LNG are hovering around $20 per mmbtu which is becoming unaffordable and less attractive to the CNG consumers. The CNG Association is going to ask the government to provide a subsidy of $5 per MMBtu to the CNG stations for the winter months, the source said. The source said that the issue pertaining to subsidy will be raised with the finance minister next week.