ISLAMABAD: In order to meet the revenue shortfall of the Sui Northern Gas Pipelines Limited (SNGPL) and Sui Southern Gas Company Limited (SSGCL), the Oil and Gas Regulatory Authority (OGRA) has approved 17pc to 191pc increase in the gas prices for the period starting from January 2020 till June 2020.
This would be the third massive surge in gas prices under the rule of Pakistan Tehreek-e-Insaf (PTI) government.
According to details, the gas price for domestic gas consumers has been increased by 191pc, while that for the fertilizer sector has been hiked by 135pc hike. Similarly, a 31pc surge has been approved for consumers falling under the category of roti tandoor, commercial, industrial, zero-rated export industry, captive power plants, compressed natural gas (CNG), cement and power plants.
Following the OGRA’s decision, SNGPL would earn a revenue of around Rs244 billion while SSGCL would earn approximately Rs275 billion during the said period. With effect to this increase, the price of local gas for CNG consumers in Khyber Pakhtunkhwa, Balochistan and Sindh would be more expensive than imported gas.
As per the documents, tariff for the first slab of domestic gas consumers has been increased from Rs121 per Million British Thermal Unit (MMBTU) to Rs353.26/MMBTU; second slab tariff has been increased from Rs300/MMBTU to Rs353/MMBTU; third slab tariff has been fixed at Rs530/MMBTU; fourth at Rs706/MMBTU; fifth at Rs1,273/MMBTU; while sixth tariff slab has been fixed at Rs1,679/MMBTU.
Similarly, the tariff for roti tandoor category of gas consumers has been jacked up from Rs780/MMBTU to Rs1,026/MMBTU, while that for commercial gas consumer has been increased from Rs1,283/MMBTU to Rs1,687/MMBTU.
The tariff for general industry has been increased from Rs1,021/MMBTU to Rs1,343/MMBTU; zero-rated industry from Rs786/MMBTU to Rs1,033/MMBTU; captive power plants from Rs1,021/MMBTU to Rs1,343/MMBTU, CNG from Rs1,283/MMBTU to 1,687/MMBTU, fertiliser from Rs300/MMBTU to Rs706/MMBTU and power plants from Rs824/MMBTU to Rs 1083/MMBTU.
It is pertinent to mention that the government is yet to pay back Rs24 billion to the gas consumers, which it had collected from them through heavy gas bills during the last winter season.