OGRA approves gas price hike for domestic consumers 

ISLAMABAD: The Oil and Gas Regulatory Authority (OGRA) has approved an increase in gas prices for domestic consumers for the ongoing fiscal year, subject to final approval by the federal government. 

According to an OGRA statement, gas prices for Sui Northern Gas Pipelines Limited (SNGPL) have been approved with an 8.71 per cent increase, raising the price to Rs1,778.35 per MMBTU. 

For Sui Southern Gas Company (SSGC), a 25.78 per cent increase has been approved, setting the price at Rs1,762.51 per MMBTU. 

The final decision on the revised prices will be made after approval from the federal government, the OGRA added. 

Earlier, Federal Minister for Petroleum Musadik Malik had said that there will be no increase in gas prices in winter, and there will be no need to purchase spot LNG cargoes.

In an informal media conversation in Islamabad, Musadik Malik had said that four or five government teams were working to reduce electricity prices.

He said that separate teams were working on electricity prices, generation companies (Gencos), circular debt, and capacity payments. The minister had expressed the hope that their efforts will provide some relief to the public.

Malik had acknowledged that gas supply will be a significant challenge in winter and that low electricity consumption during the winter season also creates problems.

He had called for the need to increase electricity consumption in winter and indicated that efforts were under way to achieve this.

He had said increasing gas prices and reducing electricity prices could boost electricity consumption in winter.

The minister had said that he meets with Saudi Arabian delegations every 10 days and that the commercial report for the green refinery is expected in December.

He also noted that switching heaters and stoves from gas to electricity could help avoid capacity payment charges.