Gas consumers to pay higher bills as OGRA notifies major hike

WEB DESK: In a recent development, the Oil and Gas Regulatory Authority (OGRA) issued a notification on Friday, revealing an upward adjustment in reliquefied natural gas (RLNG) prices.

The surge amounts to 10.11 per cent, impacting Pakistani gas consumers associated with both Sui Northern Gas Pipelines Limited (SNGPL) and Sui Southern Gas Company Limited (SSGC).

OGRA, in accordance with the policy guidelines of the Federal Government, has established the prices for re-gasified liquefied natural gas (RLNG) effective December 1, 2023, as follows:

OGRA gas price hike notification – December 22

For SNGPL consumers, the price hike translates to an increase of $1.32 per Metric Million British Thermal Unit (MMBtu), while SSGC consumers will experience a rise of $1.42 per MMBtu, as outlined in the official communication.

Consequently, the revised rates now stand at $14.81 for SNGPL users and $15.45 for those connected to SSGC.

This announcement comes on the heels of a recent escalation in electricity tariffs, indicating a broader trend of rising utility costs.

Notably, Sui Northern Gas Company (SNGC) has incorporated fixed charges into the November bills with the approval of the caretaker government.

According to authoritative sources, consumers falling under the protected category, utilising 0.9 hectometers of gas, will be subject to Rs400 as fixed monthly charges.

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Non-protected users with consumption up to 1.5 hectametres will see an additional charge of Rs1,000 in their bills. Even those with zero gas usage will not be exempt, being required to pay Rs400 as monthly fixed charges.

This adjustment in the form of a monthly fixed tax by SNGC is anticipated to impact a substantial consumer base, affecting approximately 8 million individuals.

The developments in both LNG and gas prices underscore the ongoing challenges faced by consumers amid a broader economic landscape marked by increasing utility expenses.

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