Karachi: With the arrival of winter, another storm of inflation is ready to rise for the people of Sindh and Balochistan.
According to report, the Sui Southern Gas Company has submitted a formal request to the Oil and Gas Regulatory Authority (OGRA) for a significant increase in gas prices. The company has said in its request that an increase in gas prices of Rs 125.41 per MMBTU during the current financial year has become inevitable, without which the company’s expenses and system restoration are not possible.
According to the Sui Southern Gas Company, gas transmission and production costs are currently seeing a continuous increase, while arrears and losses are also increasing the company’s financial burden.
The company has requested OGRA to fix the new average gas price for consumers in Sindh and Balochistan at Rs 1,783.96 per MMBTU. This increase will affect everyone from domestic consumers to the industrial sector, especially in winter when gas consumption increases manifold.
OGRA will hold a public hearing on the petition in Karachi on November 11, where consumers, experts, and various institutions will present their views. The hearing is also considered important because in the past, there has been a strong public reaction to gas price increases, which sometimes forced the government to postpone or partially withdraw decisions.
Economists say that this potential increase in gas prices will not only increase the expenses of ordinary citizens but will also harm industrial production, transport, and energy sectors. The energy crisis in Pakistan has already intensified, so further inflation will cause trouble for the people.
On the other hand, the Sui Southern Gas Company is of the view that if the rates are not increased, the company will face financial losses, which may affect the entire gas supply system. On the other hand, civic groups and consumer organizations are rejecting this proposal and demanding that the government focus on administrative reforms and the prevention of theft instead of burdening the public.
