OGRA Approves Gas Price Hike Across Pakistan: Up to 7.14% Increase

Gas prices in Pakistan are set to rise as the Oil and Gas Regulatory Authority (OGRA) has approved an increase for the current fiscal year, raising the average tariff by up to 7.14 percent. Consumers in Islamabad, Punjab, and Khyber Pakhtunkhwa will see gas prices rise by 4.89 percent. OGRA has authorized Sui Northern Gas Pipelines Limited (SNGPL) to increase tariffs by Rs 86.30 per MMBtu, bringing the new rate to Rs 1,852.80 per MMBtu from the previous Rs 1,766.50 per MMBtu.

For Sindh and Balochistan, gas prices will increase by 7.14 percent. Sui Southern Gas Company (SSGC) has been allowed a hike of Rs 118.47 per MMBtu, setting the new tariff at Rs 1,777.02 per MMBtu compared to the earlier rate of Rs 1,658.56 per MMBtu.

This adjustment comes despite OGRA’s earlier indication of a potential reduction in gas prices. The regulator had previously suggested that tariffs for Islamabad, Punjab, and KP consumers could decrease by up to 3 percent, while an 8 percent reduction had been proposed for Sindh and Balochistan.

Prime Minister Shehbaz Sharif highlighted that gas supply had been a major challenge during the PDM government in 2022, but the current administration has made significant efforts to improve the situation. He added that new connections for high-quality RLNG (Re-Gasified Liquefied Natural Gas) are now being issued to the public, aiming to enhance energy accessibility and supply.