Ogra Increases Prices of LNG for August 2024

Staff Report:The Oil and Gas Regulatory Authority (Ogra) has hiked price of Regasified Liquefied Natural Gas (RLNG) by a 3.20 percent for August 2024 on month to month basis, keeping in view of the fluctuation in global gas prices.Ufone 4G announces a first-in-industry health insurance program for franchise owners and their families

The new rates, effective with August 1, 2024 have been detailed in an official notification issued by OGRA for RLNG consumers.

For customers of Sui Northern Gas Pipeline Limited (SNGPL) the price of RLNG has been raised by 2.97 percent, translating to an increase of 40 cents per million British thermal units (mmbtu). This brings the new price to $14 per mmbtu for August.

Sui Southern Gas Company (SSGC) will also observe a raise of 42 cents per mmbtu, resulting in a new price of $13.57 per mmbtu.

The notification from Ogra has been met with mixed reactions from industry stakeholders, as the hike in RLNG prices could potentially affect various sectors reliant on natural gas.

However, the increase was deemed necessary by the regulatory body to align with international market trends. With these adjustments, Ogra aims to ensure the stability of the energy supply chain while maintaining a balance between global prices and local consumer needs.

The price has been calculated at eleven LNG cargos – 10 cargoes by PSO and one by PLL.

The new RLNG prices are expected to remain in effect throughout August, with further reviews anticipated in the following months.
The revised pricing reflects the ongoing fluctuations in the global energy sector, which continue to impact domestic energy costs.