Gas prices may surge by 237%

By: News Desk
Published: 12:16 AM, 9 Nov, 2022
Gas prices may surge by 237%
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Sui Gas consumers may face an additional burden in the form of gas price- hike as the gas companies have demanded an increase in gas prices upto 237 percent, reported 24NewsHD TV channel.  

As per reports, Sui Northern Gas Pipelines Limited (SNGPL) has sought Rs1,294 per MMBTU and Sui Southern Gas Company Limited (SSGCL) sought Rs Rs667.44/MMBTU.

The Oil and Gas Regulatory Authority (OGRA) received the application of both gas utilities

 and decided to conduct separate hearings on these applications. The OGRA will hear SNGPL on November 14 in Lahore and it will hear SSGCL on November 21 in Karachi. The gas consumers who are already bearing the heavy brunt of the gas shortage would bear an additional burden if OGRA approves the proposed hike in the gas price as sought by both the Sui gas companies.

Sources in OGRA said that gas has become expensive following the increase in crude oil price in the international oil market while the decrease in the value of Pak currency has also been causing an additional burden on gas consumers.

It is pertinent to mention here that country’s gas consumers have been facing an additional burden owing to a gas shortage which is mainly due to the fast and continuous depletion of domestic gas reserves and a significant reduction in the import of gas as a couple of global gas suppliers, in violation of long-term agreements, had canceled the scheduled shipments over the past few months after gas prices shot up in the world market while the government has been avoiding buying expensive gas from global spot markets as gas imported under long-term agreements remained cheaper.

Categories : Business