SNGPL seeks another 131% gas price hike, OGRA warns of potential price increase

LAHORE, Dec 12 : Pakistanis may face further strain on their wallets as Sui Northern Gas Pipeline Limited (SNGPL) has requested a whopping 131% increase in gas prices, following a previous price hike implemented in November. This comes amid concerns about dwindling gas reserves and the high cost of imported liquefied natural gas (RLNG).

During a hearing held by the Oil and Gas Regulatory Authority (OGRA) on Tuesday, stakeholders presented their views on the proposed price hike. SNGPL's request comes on top of an already implemented increase, raising concerns about the affordability of gas for consumers.

OGRA Chairman Masroor Khan acknowledged the possibility of further price increases, citing the global trend of rising gas prices and the need to import expensive RLNG to meet domestic demand. He emphasized the need for consumers to adopt gas-saving measures while assuring that OGRA prioritizes consumers' interests in its deliberations.

Khan highlighted the challenge of dwindling natural gas reserves and the dependence on imported RLNG, which is significantly more expensive. He noted that consumers ultimately bear the burden of these higher costs.

While OGRA has not yet made a final decision on the proposed price hike, Chairman Khan indicated that recommendations will be sent to the government after a hearing in Peshawar. The government retains the final authority on gas price adjustments.

This potential price increase could further burden Pakistani households and businesses already struggling with inflation and economic challenges. The situation highlights the need for sustainable solutions to address the country's energy needs and mitigate the impact on consumers.