The Oil and Gasoline Regulatory Authority (OGRA) has accepted a 74 per cent improve within the prescribed costs of pure fuel for the 2022-23 fiscal 12 months.
In keeping with particulars, the regulator allowed Sui Northern Gasoline Pipeline Restricted (SNGPL) to extend costs by as much as 74.42 p.c. It additionally allowed Sui Southern Gasoline Firm (SSGC) to extend fuel costs by 67.75 p.c for the 12 months 2022-23.
The regulator has abolished the sooner relevant slabs of fuel consumption and their respective charges and glued the worth at 952.17 per Million British Thermal Models (mmBtu) for SNGPL customers. Likewise, for SSGC, the prescribed costs have been fastened at Rs1161.91/mmBtu.
Having a cursory take a look at the choice, decrease slabs who devour much less and are nearly poor customers are most affected as their fuel costs have been tripled, whereas for the upper slabs, the costs have been actually lowered.
The regulator issued its resolution after holding public hearings on the petitions of SNGPL and SSGC in November 2022, the place each corporations had demanded a considerable improve of their prescribed fuel costs for the present FY23 to assist them meet income necessities.
SNGPL, working the fuel community in Punjab and Khyber Pakhtunkhwa, sought Rs1,294.02/mmBtu, and SSGC which feeds Sindh and Balochistan sought Rs667.44/mmBtu improve.
In keeping with the newest resolution of OGRA on their petitions, the prescribed fuel costs for SNGPL have been elevated by 74.42% whereas for SSGC, it has been elevated by 67.75%.
In absolute phrases, for SNGPL the common value has been elevated by Rs406/mmBtu to Rs952.17/mmBtu. For SSGC too, the fuel value has been enhanced by Rs469/mmBtu to Rs1,161.95/mmBtu.
The regulator has despatched its resolution to the federal authorities. Now, the federal government would determine on it inside 40 days of this notification. If the federal government doesn’t notify it, then it would mechanically come into impact.
For home customers, the prescribed costs for the bottom slab, which was earlier Rs121/mmBtu, has now been elevated to 952.17/mmBtu depicting a rise of 687%. For the following slab, it has been elevated from Rs300/mmBtu to Rs952.17/mmBtu.
Equally, for business customers (tandoor), the 5 slabs have been abolished, and the speed has been fastened at Rs952.17/mmBtu. Earlier, the tandoors’ fuel tariff was Rs110/mmBtu for the bottom slab and Rs700 for the very best slab.
For the export-oriented sector (normal industries), the worth has been elevated from the prevailing Rs819 to Rs952.17/mmBtu.
For the captive energy vegetation, the fuel value has been elevated from Rs852 to Rs952.17. Apparently, costs for CNG, cement and fertilizer sectors have been lowered.
For the SSGC customers, the slabs have been abolished and the costs have been fastened at Rs1161.91/mmBtu.