ISLAMABAD: State-owned gas utilities Sui Northern Gas Pipelines Limited (SNGPL) and Sui Southern Gas Company Limited (SSGC) have approached the Oil and Gas Regulatory Authority (OGRA), seeking increases in their average prescribed gas prices for fiscal year 2026-27, effective retrospectively from July 1, 2026.
Thank you for reading this post, don't forget to subscribe!In their respective petitions, SNGPL has proposed an increase of Rs10 per million British thermal units (MMBtu), taking its average prescribed gas price to Rs1,712.40 from the existing Rs1,702 per MMBtu.
Meanwhile, SSGC has sought a substantially higher increase of Rs366.75 per MMBtu, proposing to raise its average prescribed gas price to Rs2,071.75.
SNGPL has also incorporated Rs60.147 billion in liquefied natural gas (LNG) service costs into its proposed gas price, with the estimated LNG cost calculated at Rs471.16 per MMBtu.
The company stated that limited availability of indigenous natural gas during the winter season would require additional supplies to meet consumer demand. It estimated that approximately 16 LNG cargoes would be needed to bridge the anticipated supply gap.
Both gas utilities have also cited rising international crude oil prices as a factor contributing to their requests for higher prescribed gas rates.
OGRA will conduct public hearings on the petitions submitted by SNGPL and SSGC before reviewing the proposed adjustments and making its determination on the average prescribed gas prices for FY2026-27.
The proposed increases, if approved, will apply retrospectively from July 1, 2026.
