Gas prices kept unchanged: SNGPL, SSGCL will work with regulator on profit calculation

ISLAMABAD: Sui Northern Gas Pipelines Limited (SNGPL) and Sui Southern Gas Company Limited (SSGCL) will work with the Oil and Gas Regulatory Authority (OGRA) and the Task Force on Power to calculate the extra profit earned by keeping gas prices unchanged while switching from expensive imported RLNG to cheaper domestic gas.

This calculation will be presented before the newly-established National Coordination and Management Council (NCMC).

The council, which enjoys the support from the secretariat of the Special Investment Facilitation Council (SIFC), is tasked with mitigating the severe impact of gas shortages resulting from the suspension of Re-gasified Liquefied Natural Gas (RLNG) supplies from Qatar via the Strait of Hormuz.

READ ALSO: Pakistan curbs gas use as Iran conflict disrupts Qatar LNG supply

Following a production halt at a 77 mtpa facility in Qatar in March 2026, Force Majeure was declared on LNG shipments. Several scheduled March 2026 cargoes (March 7, 11, 12, 16, 20, 21) from Qatar were reported not to arrive, prompting concerns over gas supply for Pakistan’s power and industrial sectors.

Prior to the force majeure, Pakistan had already negotiated the diversion or deferral of over 20-29 LNG cargoes scheduled for 2026 due to low domestic demand and high import costs, with discussions ongoing in late 2025.

To manage the dwindling supply, the government has officially suspended all new RLNG connections across the country. This moratorium will remain in effect until supply lines are restored and operations return to “business as usual.”

The NCMC Council will also maintain a high-pressure oversight role on domestic exploration and production (E&P).

Key directives include: Strict monitoring of new gas additions committed by major players, including Mari, OGDCL, PPL, MOL, and UEP. Regulatory Streamlining: A monthly progress report (due May 8th, 2026) will be submitted on the rationalization of timelines for the Directorate of Petroleum Concessions (PC) and the Gas. Additional Secretary Policy (Petroleum Division) has been mandated to ensure the immediate allocation of gas offered by E&P companies to both SNGPL and SSGCL.

The NCMC has directed SNGPL to overhaul its domestic demand planning. The utility provider is now required to rationalize consumption based on three critical factors: The impact of hourly load shedding; Significant reduction in Unaccounted for Gas (UFG)/gas theft and natural seasonal reductions in consumption.

Copyright Business Recorder, 2026