Sui Northern and Sui Southern, two gas companies, have filed applications with the Oil and Gas Regulatory Authority (OGRA), the federal body that oversees gas pricing, seeking higher average gas prices for the current financial year. Both companies have asked that any increase take effect from 1 July. No increase has been approved yet, and OGRA will hear the applications before taking a final decision.
What the two companies have asked for
Sui Northern has proposed a rise of Rs10 per million British thermal units (MMBTU), the unit in which gas is priced. Its filing asks for the average price to be set at Rs1712.40, up from Rs1702. The figures do not fully match, because a Rs10 rise on Rs1702 would give Rs1712, so the exact number should be checked against OGRA's final order.
Sui Southern has proposed a much larger increase of Rs366.75 per MMBTU. It has asked for a new average price of Rs2071.75 in place of the current one.
Sui Northern's application also includes Rs60 billion, 14 crore and 70 lakh (Rs60.147 billion), for LNG services. The company puts the cost of LNG, gas imported by ship in liquid form, at Rs471.16 per MMBTU.
Why the companies say prices should rise
The companies said local gas supply is limited in winter, so extra gas has to be arranged. Sui Northern's filing says this will require 16 LNG cargoes. They also pointed to rising global crude oil prices as a reason for the proposed increases.
What happens next
OGRA will hear both petitions and then set the average gas prices. Until that decision, the proposed rates remain requests. Consumers should watch for OGRA's final order, which will show whether any change applies from 1 July.
Aasan alfaaz mein
Sui Northern aur Sui Southern gas companies ne OGRA se gas ki average qeemat barhane ki darkhast di hai, aur dono ne yeh tabdeeli 1 July se lagu karne ko kaha hai. Abhi tak koi naya rate tay nahi hua, kyun ke OGRA pehle sunwai karega. Agar manzoori hoti hai to gas ke bills aur chulhe ka kharcha barh sakta hai. Ghar walon ko OGRA ke final faisle ka intezar karna chahiye.
