SSGC Seeks Rs370 Per MMBtu Gas Tariff Increase As SNGPL Proposes Rs10 Hike

Gas tariff increase

Gas tariff increase petitions have been filed with the Oil and Gas Regulatory Authority by Pakistan’s two main gas utilities. Sui Southern Gas Company seeks a rise of PKR 370 per MMBtu, which would lift its average prescribed price to PKR 2,071.75 per MMBtu.

Gas Tariff Increase Petitions Reach OGRA

Sui Northern Gas Pipelines Limited has sought a much smaller rise of PKR 10 per MMBtu, taking its average prescribed price from PKR 1,702 to PKR 1,712.40. Both companies asked for the changes to apply from 1 July, the start of the current fiscal year.

Costs Cited by the Gas Utilities

The companies pointed to shifts in international crude oil and HSFO prices, movements in the rupee-dollar exchange rate and revised demand and supply projections. Winter load management constraints and RLNG supply disruptions were also cited.

SNGPL’s petition also accounts for PKR 60.147 billion in LNG service costs, estimated at PKR 471.16 per MMBtu. Some reports describe the SSGC request as roughly PKR 366.75 to PKR 370, depending on the calculation.

Regulatory Review and Policy Balance

The petitions are requests, and OGRA will review them before any change takes effect. That independent step lets the regulator weigh the utilities’ costs against the impact on households and industry, and gives the public a clear process to follow.

The central policy question is how to keep the utilities financially sound without placing an undue burden on consumers. Fuel supply and pricing are also in focus in Can Iranian Oil Cut Fuel Prices?, and transparent reporting of the cost figures would help OGRA and the public judge both petitions fairly. Clear communication on timing, particularly on any retrospective effect from July, would reduce uncertainty for households and businesses.

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