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SSGC submits petition seeking hike in gas tariff

MM News Staff by MM News Staff
December 4, 2021
SSGC makes significant decision in favor of domestic consumers

SSGC makes significant decision in favor of domestic consumers

KARACHI: The Sui Southern Gas Company (SSGC) has submitted a petition to the Oil and Gas Regulatory Authority (OGRA) seeking a hike in the gas tariff.

As per The News, SSGC requested the regulator to hike the price of gas by Rs58.42 per Million British Thermal Units (mmBtu) for the fiscal year 2022. The company had already submitted a review petition for up to a 157.5% increase (Rs907.75 per MMBTU) in the average prescribed gas tariff for FY 2021-22.

SSGC wants the gas tariff to increase as it is currently facing a revenue shortfall. The company is pushing for the gas tariff to be hiked by Rs58.42 per mmBtu for the next fiscal year. OGRA, on the other hand, will hold a public hearing on the petition in Karachi on December 06, 2021, a public notice issued by the regulatory body stated.

The current average price of SSGC is around Rs779.88 per mmBtu whereas the current average prescribed price is Rs838.30 per mmBtu. The company has also demanded an estimated RLNG cost of service at Rs 30.48 per mmBtu for 2021-22.

In its petition to  The exchange rate parity has been taken at an average of Rs172 per dollar the year, considering the US currency would touch Rs180 by June 2022.

 

 

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