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Consumers in Pakistan should brace for a price hike in gas prices as applications for tariff revisions have been submitted to the Oil and Gas Regulatory Authority (OGRA).
The looming rise in gas prices in Pakistan appears to have a strong chance of taking shape because Sui gas companies are requesting significant increases. Sui Northern Gas Pipelines Limited (SNGPL) is seeking a hike of up to 28.62% in tariffs, while Sui Southern Gas Company Limited (SSGC) is asking for an overall 22% raise for consumers in Sindh and Balochistan.
To reflect on these requests, OGRA will hold separate public hearings. The hearing for SNGPL's petition is scheduled for November 7, whereas SSGC's hearing will take place on November 11.
SNGPL's proposal includes an average rise of Rs189 per MMBtu in the base tariff, along with an additional Rs316.64 per MMBtu for LNG service costs.
These proposed increases coincide with SSGC's aim to recover outstanding dues from the previous year. OGRA will evaluate the petitions and conduct stakeholder hearings before finalising tariffs and the subsequent rise in gas rates in Pakistan.
In the wake of this development, it is believed that gas consumers all over Pakistan will soon feel the impact of rising gas prices on their monthly bills.