The roles which energy plays in the life of a nation as well as between nations have increased manifold in the twentieth century. Countries which are generously endowed with energy resources are considered stronger, both economically and politically. The only source of energy which is significantly •available in Pakistan vis-a-vis her requirements is natural gas. Its use in industrial, commercial and domestic spheres of the economy is gaining increasing popularity. Its demand is rising day by day because of its low price, continuous flow and other advantages which it has over other types of fuels. This paper attempts to look at demand characteristics in the domestic sector of the .gas market. This analysis pertains to the Punjab and the NWFP provinces where the Sui Northern Gas Pipelines Ltd. is the sole distributor of gas to domestic consumers.