Petition filed with Ogra proposes revision to offset rising gas and component costs
ISLAMABAD: The Sui Southern Gas Company (SSGC) has once again applied for a 15.38% increase in gas prices for the current fiscal year to mitigate the escalating costs of gas and other components.
The petition, submitted to the Oil and Gas Regulatory Authority (Ogra), advocates revising the rate from the existing Rs1,470.21 per MMBtu to Rs1,696.39 per MMBtu, indicating an increase of Rs226.18 per MMBtu effective from July 1 of the ongoing financial year.
The petition outlines an estimated revenue requirement of Rs47.773 billion for FY24, with the cost of gas constituting over 85% of the determined price. The company underscores the linkage of the gas cost to the international price of crude oil/fuel oil based on agreements between the federal government and gas producers. Additionally, the petition includes costs related to RLNG’s service, LPG air-mix projects, and revenue shortfalls from Balochistan province.
Simultaneously, SSGC has filed a petition for revising the security deposit of domestic consumers, proposing changes to the gas supply deposit (GSD) based on the highest three months of consumption during the year. Ogra has invited comments from stakeholders, including gas consumers and the public, with a public hearing scheduled for December 18, 2023, in Karachi to determine gas prices.
More From Daily The Destination: Gas theft crackdown: 124 connections disconnected, RS 7.4 million in fines imposed
Comments are closed, but trackbacks and pingbacks are open.