ISLAMABAD
The state owned Sui gas companies, the Sui Northern Gas Pipelines Limited (SNGPL) and Sui Southern Gas Company Limited (SSGC) have sought an increase of Rs 96.38 per MBTU and Rs 114.57 per MBTU respectively from the start of next financial year.
An official source said both the companies have filed petitions for determination of their estimated revenue requirement and prescribed prices for the fiscal year 2017-18 (FY18). The SNGPL has estimated the cost of supply and transportation on account of LNG transmission as Rs 65.86 per MBTU.
SNGPL has a current average prescribed price of 476.60 per MBTU. The company estimates that after including the cost of gas, operating cost and return on assets the new average prescribed price will increase up to Rs 573.04 MBTU, an increase of Rs 96.38 MBTU.
On the other hand SSGC has a current average prescribed price of 308.40 per MBTU. The company estimates that after including the cost of gas, operating cost and return on assets the new average prescribed price will increase up to Rs 422.97 MBTU, an increase of Rs 114.57 MBTU.
According to the law, both the gas utilities can seek bi-annual increase in gas tariff at the inception of the financial year on July 01 and midway on January 01. The decision is to be made by the OGRA authority, which is complete only if three members are present.
The government has recently appointed a Member Oil at the authority after a gap of two years but he has yet to assume charge, the source said, adding that if three members were not available then the authority could not decide on the new gas tariff.
