Business

Gas Price in Pakistan: SNGPL and SSGC Seek Hike From OGRA

The gas price in Pakistan faces upward pressure after both Sui utilities asked OGRA for higher prescribed prices for the current fiscal year.

A home gas stove as utilities seek a higher gas price in Pakistan
Credit: Verified Pakistan. Editorial news photo

The gas price in Pakistan could rise again after the country's two gas utilities asked the regulator for higher average prescribed prices for the current financial year.

Sui Northern Gas Pipelines Limited (SNGPL) and Sui Southern Gas Company (SSGC) have filed separate petitions with the Oil and Gas Regulatory Authority (OGRA).

Both companies want the revised prices to apply retrospectively from 1 July, the start of the fiscal year.

Both utilities argue that the current gas price in Pakistan no longer covers their costs, pointing to expensive imported gas and shrinking local supplies.

Gas price in Pakistan: what the two utilities have asked for

SNGPL has asked for a modest increase of Rs10.40 per MMBtu. Its average prescribed price would rise from Rs1,702 to Rs1,712.40 per MMBtu.

SSGC has asked for a much bigger jump of Rs366.75 per MMBtu. Its average prescribed price would climb to Rs2,071.75 per MMBtu.

SNGPL has also included Rs60.147 billion in liquefied natural gas (LNG) service costs in its proposed price. It estimated those LNG service costs at Rs471.16 per MMBtu.

The utilities blame rising LNG costs, limited local gas supplies and higher international oil prices for the requests.

Why gas costs keep rising

Pakistan's own gas fields are producing less every year, so a growing share of supply comes from imported LNG, which is far more expensive.

Industry watches the gas price in Pakistan closely for that reason, because gas feeds fertiliser plants, textile mills, CNG stations and power plants.

When imported gas becomes a bigger part of the mix, the average cost of every unit rises, and the utilities pass that arithmetic to the regulator.

What a prescribed price actually means

The prescribed price is the average rate OGRA sets so that a utility can meet its estimated revenue requirement for the year.

It is not the same as the tariff printed on your bill. Consumer gas tariffs are decided by the federal government, which issues its own notification after OGRA gives its determination.

In July, the government kept existing consumer tariffs unchanged, even though OGRA had set prescribed prices of Rs1,718.96 for SNGPL and Rs1,691.24 for SSGC for 2026-27.

That history is why the gas price in Pakistan on household bills has not moved yet, whatever the utilities request this time.

Will the gas price in Pakistan change your bill?

Not immediately. OGRA will hold hearings on both petitions before it announces any determination.

Even after that, household bills change only if the government decides to pass an increase on to consumers and notifies new tariffs.

Consumer groups are expected to oppose any rise in the gas price in Pakistan during the hearings, especially with inflation still hurting household budgets.

The timing still matters for families. The petitions land just as winter begins, when gas demand for heating and cooking rises sharply across the northern half of the country.

Consumers in SNGPL areas already face low pressure and load management in peak winter weeks. A tariff rise in the middle of the season would add to those costs.

Gas price in Pakistan: common questions

Has the gas price in Pakistan increased? No. The utilities have only applied for an increase. OGRA has approved nothing so far, and consumer tariffs remain unchanged.

How much has SSGC asked for? SSGC wants its average prescribed price raised by Rs366.75, taking it to Rs2,071.75 per MMBtu.

How much has SNGPL asked for? SNGPL wants Rs10.40 more per MMBtu, taking its average prescribed price from Rs1,702 to Rs1,712.40.

Will my home gas bill go up? Only if OGRA allows the increase and the federal government then notifies higher consumer tariffs. Your bill follows the consumer tariff, not the prescribed gas price in Pakistan directly.

When will a decision come? OGRA will first hold hearings on both petitions. No date for a final determination has been announced yet.

For now, households can relax on one point. Until the regulator decides and the government notifies, the gas price in Pakistan on your bill stays exactly where it is.

What happens next for business

We will keep this page updated as the story develops rather than publishing a near-duplicate at a new address. Follow Business for related coverage.

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