ISLAMABAD – The Oil and Gas Regularly Authority (Ogra) has approved further hike in the gas tariff to mitigate the shortfall of Rs98 billion.
The revised rates will be applicable from January 1, 2024 till June 30, 2024, putting an additional burden on masses facing skyrocketing inflation. This is the second time the government has revised up the gas price in the current financial year 2023-24.
The government has jacked up the tariff of Sui Northern Gas Pipelines Limited (SNGPL) by 35.13 percent and Sui Southern Gas Company Limited (SSGCL) by 8.57pc.
On February 2, Ogra suggested an increase of Rs299 in the average gas price to Rs1,590 per MMBTU from the previous average price of Rs1,291, which was determined in June 2023.
The International Monetary Fund (IMF) has asked the government to review the gas prices biannually to reduce the circular debt.
According to Ogra’s Feb 2 decision, the tariff of Sui Northern gas has surged to Rs1,673.82 per MMBTU against the previous price of Rs1,238.68.
Similarly, it has increased the gas tariff of Sui Southern to Rs1,466.40 per MMBTU from Rs1,350.68 per MMBTU.
