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OGRA lifts 12-years ban on licence for new CNG stations  

MM News Staff by MM News Staff
January 27, 2021

ISLAMABAD: The Oil and Gas Regulatory Authority (OGRA) has decided to lift a ban on issuing new CNG licenses based on LNG after 12 years.

The ban on issuance of new licenses had been imposed in 2008 but in October last year, the Economic Coordination Committee (ECC) directed the OGRA to issue RLNG-based licenses to new CNG stations. 

Earlier, the Economic Coordination Committee (ECC) had accorded its approval in this regard. During a discussion in the meeting, Special Assistant to the Prime Minister on Petroleum Nadeem Babar had informed the economic policymakers that the ban was imposed on licenses based on indigenous gas.

Now, he said that RLNG is available and still cheaper than indigenous gas, and the CNG sector may import LNG for their stations which will be sold at Ogra’s notified price.

Executive Officer (CEO) Ghayas Paracha welcoming the decision said that the government could save Rs 97 billion during the next 12 years by handling 150 mmcfd additional LNG through the second LNG terminal.

Paracha said that the LNG import by the private sector would help reduce load-shedding during the winter season.

 

 

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