SSGCL Seeks Hike in Natural Gas Prices for FY25

The Sui Southern Gas Company Limited (SSGCL) has officially requested an adjustment in natural gas tariffs for the fiscal year 2024-25.

On November 29, 2024, the company presented its initial request to the Oil and Gas Regulatory Authority (OGRA), followed by a revised submission on March 26, 2025. This updated petition aims to ascertain the Estimated Revenue Requirement (ERR) for the financial year 2025-26, as per Section 8(1) of the Oil and Gas Regulatory Authority Ordinance, 2002, and Rule 4(2) of the Natural Gas Tariff Rules.

According to OGRA’s spokesperson, SSGCL is advocating for an average regulated gas price of Rs1,801.86 per MMBTU. This contrasts with the previously sanctioned rate of Rs1,762.51 per MMBTU for the Revised Estimated Revenue Requirement (RERR) in FY 2024-25.

Furthermore, SSGCL is seeking to recover a shortfall from prior years, amounting to Rs498,764 million (equivalent to Rs2,335.63 per MMBTU) up to FY 2022-23. The company is also claiming a Re-Gasified Liquefied Natural Gas (RLNG) service cost of Rs57.04 per MMBTU.

The OGRA spokesperson affirmed that the regulatory body will meticulously assess the petition. A decision will be communicated following a thorough examination, adhering to regulatory protocols and established standards.