The average sale price of re-gasified liquefied natural gas (RLNG) has increased by up to 10 percent for December 2023, according to the Oil and Gas Regulatory Authority (Ogra).Â
The regulator announced the revised prices on Friday, citing a significant rise in international Brent prices as the main reason.
The new prices apply to both Sui Northern Gas Pipelines Ltd. (SNGPL) and Sui Southern Gas Co. Ltd. (SSGC), the statement said.Â
SNGPL customers will pay $13.68 per million British thermal units (mmbtu) for transmission and $14.81 for distribution during December, while SSGC consumers will face a transmission rate of $13.26 and a distribution rate of $15.45.
The December hike in RLNG prices will have a major impact on consumers, especially industries and households that depend on natural gas in the harsh winter. The higher prices may lead to increased production costs for businesses and affect the monthly budgets of households, raising concerns and debates within the energy sector.
The RLNG prices have fluctuated throughout the year, with seven cuts and five increases since January. The price started falling in January, with a reduction of up to 2.2 percent, and reached the lowest level in August, with a drop of 1.3 percent. This was followed by a further decline of 4.3 percent in February, 3.16 percent in March, and 0.47 percent in April.
It rose by 1.3 percent in May but then fell again in June (2.55 percent), July (1.5 percent), and August (1.3 percent). In September, there was an increase of 3.08 percent, in October 3.8 percent and in November 1.2 percent.
The revised prices for RLNG include various elements, such as charges for LNG terminals, transmission losses, port charges, and margins for state-owned importers, namely Pakistan State Oil Co. and Pakistan LNG Ltd. They were based on the import of seven cargoes by PSO and one cargo by PLL.
