ISLAMABAD: The Oil and Gas Regulatory Authority (OGRA) on Saturday notified a significant reduction in liquefied natural gas (LNG) prices for both the Sui Northern and Sui Southern gas systems.
According to the notification, the LNG price for the Sui Northern Gas Pipelines Limited (SNGPL) system has been reduced by $6.81 per million British thermal units (MMBtu). Following the reduction, the new LNG price for the SNGPL system has been fixed at $19.03 per MMBtu.
For the Sui Southern Gas Company Limited (SSGCL) system, OGRA reduced the LNG price by $6.95 per MMBtu, bringing the new price to $18.13 per MMBtu.
According to OGRA, LNG prices for both gas systems have been reduced by up to 27.71%.
The reductions come as the government continues efforts to improve the financial and operational performance of the country’s gas sector.
Earlier, Federal Minister for Petroleum Ali Pervaiz Malik directed the board of SSGCL to develop a comprehensive strategy and sustainable business model, with particular emphasis on controlling Unaccounted-for-Gas (UFG), to transform the company into a financially viable organisation.
The minister chaired a meeting with the SSGCL board chairman and directors, managing director and senior management in Karachi to review the company’s performance, key achievements, operational challenges and priorities for future reforms.
During the meeting, SSGCL management briefed the minister on the company’s milestones and challenges and highlighted improvements in the gas distribution system.
The meeting was informed that UFG had been reduced by approximately 57% in volumetric terms.
Officials further said that there was no gas load-shedding for K-Electric, industrial consumers and fertiliser plants, while domestic consumers were being supplied gas three times a day.
