The Oil and Gas Regulatory Authority (OGRA) has approved an increase in gas prices for consumers of Sui Northern Gas Pipeline Limited (SNGPL) and Sui Southern Gas Company Limited (SSGCL) for the upcoming fiscal year 2025-26. The decision has been sent to the federal government for formal notification, which is expected within 40 days as per legal requirements.
OGRA approved a price rise of Rs 103.95 per MMBTU for SSGCL, raising the average prescribed price from Rs 1,762.51 to Rs 1,866.46 per MMBTU. For SNGPL, the regulator allowed an increase of Rs 116.90 per MMBTU despite the company’s request for a much higher hike. This adjustment mainly reflects the impact of re-gasified liquefied natural gas (RLNG) diversion policies.
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The regulator also urged SNGPL to collaborate with the federal government to review gas supply management, considering factors like sectoral energy demand and international contracts. OGRA stressed that until official notification of revised prices, current rates will remain in effect.
SNGPL highlighted that gas consumption is declining due to previous price hikes, with industrial users shifting to alternatives like solar energy. Furthermore, RLNG demand has dropped as power sector usage decreases, while indigenous gas supplies are being curtailed to avoid penalties linked to firm government agreements.
