Pakistan’s two state-owned gas utilities, Sui Northern Gas Pipelines Limited (SNGPL) and Sui Southern Gas Company Limited (SSGC), have requested increases in their prescribed gas prices for fiscal year 2026-27.
Both companies have submitted their applications to the Oil and Gas Regulatory Authority (OGRA), seeking retrospective implementation of the proposed rates from July 1, 2026.
SNGPL has requested an increase of Rs. 10 per million British thermal units (MMBtu), taking its average prescribed price to Rs. 1,712.40 from Rs. 1,702 per MMBtu.
SSGC has sought a significantly higher increase of Rs. 366.75 per MMBtu, proposing to raise its average prescribed price to Rs. 2,071.75.
SNGPL Seeks Higher Rates After LNG Costs
SNGPL has included Rs. 60.147 billion in LNG service costs in its proposed gas price, estimating LNG costs at Rs. 471.16 per MMBtu.
The company said declining availability of locally produced gas during winter would require additional LNG supplies to meet consumer demand. It estimates that 16 LNG cargoes will be needed for this purpose.
Both utilities have also cited higher international crude oil prices as a factor behind their requests for increased gas rates.
OGRA will conduct hearings on the applications before deciding whether to approve the proposed increases.
