Relax! No gas price hike: notification withdrawn

Hamza HabibOur Correspondent

03rd Aug, 2021. 07:16 pm

ISLAMABAD: The Oil and Gas Regulatory Authority (Ogra) has withdrawn the notification regarding increase in the prices of re-gasified liquefied natural gas, a statement issued by the regulator said on Tuesday.

After the issuance of the Ogra notification, the All Pakistan CNG Association (APCNGA) has reversed the prices of the compressed natural gas (CNG) on August level and issued directives to the filling stations not to charge additional Rs8/kg in Sindh and Rs5 in Punjab.

In the notification, the regulatory authority said as per the routine monthly practice, estimated prices of RLNG are computed based on the available data at the time of computation.

The notification also said since the prices are for the month in advance, many pricing components are calculated for determination on a provisional basis based on the available data at that time, which later actualised by the Ogra based on the actual cost incurred.

However, as informed by the Pakistan State Oil (PSO) that they have scrapped the cargo with an offered price of 27.87 of the Brent, RLNG prices notified on August 2 are no longer valid and the RLNG price for August notification is being withdrawn.

The withdrawal of the Ogra notification comes in the wake of a report published in a section of the press that the state-run PSO had purchased a cargo of LNG at $20.055/unit (almost 27.9 per cent of Brent), the highest-ever purchase in the history of the country.

However, the PSO issued a statement on Twitter, denying the award of any cargo at the rate of $20.055.

It claimed the said tender was scrapped on July 27 due to its high price and subsequently a fresh tender was issued.

It also denied keeping the bid results secret, insisting that it “always maintains absolute transparency in all its business dealings and practices”.

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