ISLAMABAD: The federal government has increased the prices of re gasified liquefied natural gas RLNG for consumers of both Sui Northern Gas Pipelines Limited SNGPL and Sui Southern Gas Company SSGC for November. The revision reflects an upward adjustment of up to 1.97 percent driven mainly by changes in the unaccounted for gas UFG percentage. The Oil and Gas Regulatory Authority Ogra issued the updated price notification on Tuesday.
According to Ogra the RLNG price hike is largely due to an increase in the UFG component for November. However SNGPL’s transmission price witnessed a slight decrease as a result of a reduction in its transmission side UFG percentage. This adjustment provided limited relief although the overall impact remains upward for end consumers.
For SNGPL consumers the imported gas price rose by 1.39 percent. Ogra noted that the transmission price declined marginally by 0.0076 dollars per MMBtu bringing it down to 11.4305 dollars per MMBtu from 11.4381 dollars in October. In contrast the distribution price climbed to 12.3996 dollars per MMBtu showing an increase of 1.39 percent compared to the previous month’s rate of 12.2300 dollars per MMBtu.
For SSGC consumers the transmission price increased by 0.07 percent reaching 10.0652 dollars per MMBtu from the earlier 10.0585 dollars per MMBtu. The distribution price also recorded a significant rise of 1.97 percent moving to 11.4520 dollars per MMBtu compared to 11.2304 dollars per MMBtu in October. The revised rates include port handling expenses terminal charges transmission losses and the importer’s margin.
Ogra stated that the updated RLNG sale prices are based on six LNG cargoes imported by Pakistan State Oil under long term agreements with Qatar. These agreements supply the country with LNG cargoes priced at different slopes linked to Brent crude oil benchmarks.
Out of the six cargoes received during the month four were priced at the higher slope of 13.37 percent of Brent while the remaining two were procured at the lower slope of 10.20 percent. This mix contributed to the weighted average RLNG price that has now been passed on to consumers for November.
