
Pakistan’s gas consumers may soon face higher bills as the Oil and Gas Regulatory Authority (OGRA) reviews a major request for tariff hikes by national gas companies. The Sui Northern and Sui Southern gas companies have proposed increasing gas prices by up to 28.62 percent for the fiscal year 2025–26. The request aims to cover mounting operational expenses and revenue deficits caused by inflation and rising energy import costs.
Read more : Government reopens new domestic gas connections after years …
According to the official filings, Sui Northern Gas Pipelines Limited (SNGPL) has sought a 28.62 percent increase in gas tariffs for Islamabad, Punjab, and Khyber Pakhtunkhwa. The company has proposed raising the average gas price from Rs1,766.50 to Rs1,955.50 per million British thermal units (MMBtu), marking an increase of Rs189 per MMBtu. SNGPL has also projected a revenue shortfall of Rs52.95 billion, urging OGRA to approve the new rates to stabilize its financial position.
Meanwhile, Sui Southern Gas Company (SSGC), which supplies gas to Sindh and Balochistan, has proposed a 22 percent hike in tariffs. The company recommends increasing the average gas price from Rs1,658.55 to Rs1,783.96 per MMBtu, reflecting an additional Rs125.41 per MMBtu. In addition, both companies have suggested a rise of Rs316.64 in liquefied natural gas (LNG) service charges, citing growing import and transportation expenses.
Read more : Pakistan imposes permanent ban on new gas connections
OGRA has scheduled separate hearings to review these requests. The Sui Northern case will be heard on November 7, followed by the Sui Southern case on November 11. These hearings will determine whether the proposed increases are justified under the current economic and supply conditions. The authority will also evaluate the potential impact on household consumers and industrial sectors that heavily rely on gas supply.
If approved, the new tariffs could affect millions of domestic, commercial, and industrial users nationwide. Rising gas costs may also influence overall inflation and production expenses across various industries. However, officials argue that the revision is essential to prevent further financial strain on gas companies and ensure uninterrupted supply during the winter season. The decision is expected to play a crucial role in shaping Pakistan’s upcoming energy pricing strategy for fiscal year 2025–26.