SNGPL Seeks Petroleum Division’s Intervention on Gas Cost Equalisation and RLNG Financing

SNGPL-Office

ISLAMABAD: Sui Northern Gas Pipelines Limited (SNGPL) has called on the Petroleum Division for urgent support to finalise a gas cost equalisation arrangement with Sui Southern Gas Company Limited (SSGC) and to include the full financing cost of short-term RLNG borrowings in the RLNG price structure to ensure cost recovery. In a letter to the Director General (Gas) at the…

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Gas Theft in KP Reduced by 64% in FY24

Gas-SNGPL

PESHAWAR: Khyber Pakhtunkhwa’s southern region witnessed a significant reduction in gas theft and line losses, which dropped from Rs8.8 billion in FY20 to Rs3.17 billion in FY24. However, approximately Rs8.684 million worth of natural gas continues to be stolen daily in the districts of Karak, Hangu, and Shakardara, resulting in monthly losses of Rs264.66 million. The consistent decline in losses…

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SNGPL Clarifies Gas Curtailment Claims

SNGPL-Office

ISLAMABAD: In response to recent reports regarding gas field closures in favor of imported RLNG and alleged economic losses, Sui Northern Gas Pipelines Limited (SNGPL) has issued a clarification refuting key points in the published story titled “Local Gas Cuts Cause $194m Loss to Economy in 4 Months.” SNGPL stated that the indigenous gas fields were temporarily closed only in…

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Over Rs200 Million Gas Dues Owed by Top Government Offices

SNGPL-Office

ISLAMABAD: Over 20 high-profile government entities, including Aiwan-e-Sadr, Parliament Lodges, the Ministry of Finance, and the Foreign Office, collectively owe more than Rs200 million in unpaid gas bills to Sui Northern Gas Pipelines Limited (SNGPL), according to official communication from SNGPL’s management. Key Defaulters and DuesParliament Lodges/MNA Hostel: Rs24,955,133 (including disconnected meters with Rs2,655,735 pending).Cabinet Division Building: Rs23,075,733.Aiwan-e-Sadr Facilities: Rs16,685,739…

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Pakistan Approves Sale of 35% Newly Discovered Gas Reserves to Private Sector

Gas-OGDCL

ISLAMABAD: After nearly a year of deliberation, a high-level committee, chaired by Deputy Prime Minister Ishaq Dar, has approved the sale of 35% of newly discovered gas reserves to private entities through a competitive bidding process. The decision, aimed at addressing liquidity challenges faced by exploration and production (E&P) companies, is expected to attract $4-5 billion in new investment for…

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Gas Utilities Propose Up to 54% Tariff Hike to Cover Revenue Shortfall

Gas-IMF

ISLAMABAD: The two major gas utilities in Pakistan—Sui Northern Gas Pipelines Limited (SNGPL) and Sui Southern Gas Company Limited (SSGCL)—have requested an increase of up to 54% in prescribed gas prices to address revenue shortfalls for the current fiscal year (FY25). The Oil and Gas Regulatory Authority (OGRA) will conduct public hearings for these proposals, with SNGPL’s hearing set for…

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“PSO Sounds Alarm Over Rising Circular Debt, Urges Payment of Rs550 Billion Dues for LNG Supply”

pso

Pakistan State Oil (PSO) has raised concerns about the escalating circular debt in the energy supply chain, particularly in liquefied natural gas (LNG) sales, warning of potential disruptions if outstanding dues are not addressed promptly. In a letter addressed to the managing director of Sui Northern Gas Pipelines Limited (SNGPL), PSO highlighted the critical issue of increasing outstanding payments for…

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Energy sector circular debt hits record Rs5.73tr despite tariff hikes

power-e-unit

The viability of power and gas sector companies continues to deteriorate due to the circular debt, affecting Pakistan’s borrowing options Pakistan’s energy sector is grappling with soaring circular debt, now reaching a staggering Rs5.73 trillion, as revealed by official documents. This figure has exceeded the previous estimate reported to the International Monetary Fund (IMF) two months ago by Rs1.5 trillion.…

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Govt to recover Rs232b for LNG

LNG

Gives fertiliser plants LNG worth Rs15b to be recovered from consumers ISLAMABAD: In the face of resistance from the Sindh province, the caretaker government is aiming to recoup Rs232 billion, representing the cost of diverting expensive Liquified Natural Gas (LNG) supply to domestic consumers from January 1, 2024. The gas utility, Sui Northern Gas Pipelines Limited (SNGPL), had redirected costly…

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