On Wednesday, the Oil and Gas Regulatory Authority (Ogra) approved price increases of 74.42 percent and 67.75 percent for the two gas companies Sui Northern Gas Pipelines Limited (SNGPL) and Sui Southern Gas Company Limited (SSGC).
Ogra granted permission for SNGPL to increase its average gas prices for the current fiscal year by Rs406.28/mmBtu and SSGC to increase its average gas prices by Rs469.28/mmBtu in its ruling on two requests from firms.
With effect from July 2022, the two corporations had sought the regulator for increases of Rs1,294.02/mmBtu and Rs667.44/mmBtu, respectively.
The federal government has been informed of Ogra’s judgment, and it is required to advise the regulatory authority of the minimum charges and sale prices for each category of retail consumers within 40 days for publication in the official gazette.
“The federal government shall ensure that the sale prices so advised are not less than the revenue requirement [of the companies] determined by the authority,” Ogra said in the decision. In case the federal government did not advise within 40 days, the prices worked out by Ogra would be notified, it further stated.
