OGRA approves 6 per cent cut in gas price for consumers

ISLAMABAD (92 News) – The Oil and Gas Regulatory Authority (OGRA) has approved a 6 per cent reduction in natural gas prices to the government for consumers on Wednesday. The suggestion came after a public hearing with the Sui Northern Gas Pipelines Company Limited (SNGPL) and Sui Southern Gas Company Limited (SSGCL) and statistical analysis of their data. OGRA has rejected recommendations to hike gas prices and approved 6 per cent reduction in current gas price for Sui Northern and 2 per cent for Sui Southern, forwarding its decision to the federal government. It has approved gas price of Rs 623.31 per MMBTU for Sui Northern and Rs 750.9 per MMBTU for Sui Southern. The current gas prices of Sui Northern and Southern are Rs 664.25 per MMBTU and Rs 796.18 per MMBTU respectively. OGRA has forwarded the decision to the federal government for approval. It is pertinent to mention here that Sui Northern had requested to increase the price of gas from Rs 664.25 to Rs 1287.19 per MMBTU while Sui Southern had requested to increase price from 796.18 to 881.53 per MMBTU. Meanwhile, the OGRA’s decision states that the reason for the reduction in gas prices is the falling global oil prices.