The Oil and Gas Regulatory Authority (Ogra) on Tuesday approved an increase of up to 7.14% in gas prices for the current fiscal year, strictly ruling out earlier-notified reduction in rates, ending hopes of relief for consumers.
In a previous statement, a spokesperson for Ogra had said the regulatory body had approved a reduction of up to 8% in gas tariffs for consumers nationwide, with the final decision resting with the government.
Ogra’s spokesperson, in a new statement, said the authority has approved a 7.14% revision in Sui Southern Gas Company’s (SSGC) tariff and a 4.89% adjustment for Sui Northern Gas Pipelines Limited (SNGPL).
For SSGC, the change translates into an addition of Rs 118.47 per mmBtu, while SNGPL’s rate goes up by Rs 86.30 per mmBtu.
With this decision, SSGC’s price now stands at Rs 1,777.02 per mmBtu and SNGPL’s at Rs 1,852.80.
In the previous shortfall, Ogra allowed Rs 60.88 billion adjustment for gas companies, the spokesperson added.
Meanwhile, Ogra has requested the federal government for advice on category-wise sale prices, saying that any revision, as advised by the government, will be notified regarding the same.
Till such time, the existing category-wise natural gas sale prices will continue to prevail.
Separately, Minister for Petroleum Ali Pervez Malik directed gas utilities to ensure an uninterrupted supply to consumers during winter.
During a meeting to discuss seasonal gas load management, the minister urged necessary measures to facilitate the public during the winter months.
Malik confirmed that gas companies had been issued the required instructions in this regard.
According to a statement, the managing directors of SNGPL and SSGC briefed the minister on gas availability across the country.
The meeting also reviewed the issuance of RLNG domestic connections, the statement added.
Malik noted that the domestic gas supply this year was "significantly better" compared to last winter.