ISLAMABAD: The Central Power Purchasing Agency (CPPA) has formally requested the National Electric Power Regulatory Authority (Nepra) for a substantial increase in electricity prices, projecting a surge of Rs5 per unit for the month of February, while, Sui Northern Gas Pipelines Limited (SNGPL) has sought approval from the Oil and Gas Regulatory Authority (OGRA) to increase gas prices by 147%.
Nepra is scheduled to conduct a hearing on March 28 to review the proposal, which, if approved, is expected to impose a hefty financial burden exceeding Rs40 billion on consumers.
CPPA’s data for February indicates that 6.876 billion units of electricity were sold, with contributions from various energy sources. Hydropower accounted for approximately 24.77% of electricity generation, followed by local coal at 13.94%, imported coal at 1.89%, local gas at 11.04%, imported liquefied natural gas (LNG) at 20.33%, and nuclear fuel at 23.29%.
Meanwhile, Sui Northern Gas Pipelines Limited (SNGPL) has approached the Oil and Gas Regulatory Authority (OGRA) seeking approval for a significant gas price hike of 147%.
SSGC submitted a request to OGRA on March 17, proposing a substantial increase in gas prices effective from July 1.
SSGC’s proposal aims to raise gas prices by Rs324 per million British thermal units (mmbtu), resulting in a new average price of Rs1740.80 per mmbtu. If approved, this hike would impose a burden of Rs79.63 billion on gas consumers nationwide.
SSGC attributes the projected revenue shortfall of Rs79.63 billion for the upcoming fiscal year to various factors, including Rs56.69 billion from local gas sales, Rs22 billion from Re-gasified Liquefied Natural Gas (RLNG) transactions, and an estimated renovation shortfall of Rs935 million.
