Ogra notifies 15.3pc increase in RLNG price for October

ISLAMABAD: The Oil and Gas Regulatory Authority (Ogra) on Friday notified an increase of up to 15. 3 per cent in the price of Regasified Liquefied Natural Gas (RLNG) for sales at the distribution stage by the two Sui gas companies for October, mainly due to higher crude prices. The increase has come after a 20pc price reduction for September. This is expected to have a significant impact on fuel cost for power generation in December. The RLNG-based power generation cost in September amounted to Rs40 per unit based on the average RLNG import price of $10. 06 per million British thermal unit (mmBtu), compared to $10. 75 per mmBtu in October. The average delivered price ex-ship of LNG for two cargoes in October amounted to $10. 75 per mmBtu, compared to $10. 06 per mmBtu in September, $12. 12 per mmBtu in August and $18. 96 per mmBtu in July.

Karachi-based Sui Southern Gas Company Limited (SSGCL) serves consumers in Sindh and Balochistan, and its system losses at the distribution stage stand at 12. 55 per cent, compared to about 10. 6pc last year. On the other hand, Lahore-based Sui Northern Gas Pipelines Limited (SNGPL) provides gas to consumers in Punjab and Khyber Pakhtunkhwa, and its system losses at the distribution stage were also reported at almost 9pc against 7. 47pc in October last year. According to the notification, RLNG’s sale price for SNGPL at the transmission stage increased by 13. 9pc to $15. 94 per mmBtu for October compared to $13. 99 per mmBtu in September. The sale price at the distribution stage for SNGPL was, thus, increased by 14pc to $17. 33 per mmBtu for October, against $15. 196 per mmBtu in September. Meanwhile, RLNG sale price for SSGCL has been increased at the transmission stage by 15. 25pc to $14. 53 per mmBtu for October, against $12. 611 per mmBtu in…