Islamabad: The Oil and Gas Regulatory Authority (Ogra) has notified a reduction of up to five per cent in the price of regasified liquefied natural gas (RLNG) at the distribution stage for January, primarily driven by lower international oil prices.
This marks the second consecutive monthly cut, following an approximate six per cent reduction in December. Cumulatively, RLNG prices have declined by more than 11pc over the past two months, reversing a 4.4pc increase recorded during October and November.
According to the notification, the transmission-stage sale price of RLNG for Sui Northern Gas Pipelines Limited (SNGPL) fell by 4.62pc to $10.41 per mmBtu in January 2026, down from $10.92 in December and $11.24 in September. Consequently, the distribution-stage price for SNGPL declined by 4.68pc to $11.27 per mmBtu, compared to $11.83 in December and $12.24 in November.
For Sui Southern Gas Company Limited (SSGCL), the transmission-stage price dropped by 5.25pc to $8.98 per mmBtu, from $9.47 in December, $10.065 in November, and $9.86 in September. The distribution-stage price for SSGCL was also reduced by 5.26pc to $10.21 per mmBtu for January, compared to $10.77 in December and $11.45 in November.
Ogra attributed the decline mainly to a reduction in the delivered ex-ship (DES) price of imported LNG. However, it noted that distribution-stage system losses had increased, reaching 12.55pc for SSGCL and nearly 9pc for SNGPL.
Despite the reductions, RLNG prices at the distribution stage remain significantly higher than the average DES price—by about $3.3 per mmBtu for SSGCL and $4.25 per mmBtu for SNGPL—due to profit margins charged by LNG importers and port authorities, along with retainage charges and higher unaccounted-for gas (UFG) losses.
