Bills Set to Rise as OGRA Announces New Gas Prices


The Oil and Gas Regulatory Authority (OGRA) has officially announced new natural gas sale prices, taking effect from November 1, 2023, a move that is expected to impact consumers across the board.

Government’s Role in Setting Prices

The adjustment of natural gas sale prices falls under the purview of the federal government, as outlined in sections 7(1), 8(3), and 21(2)(h) of the OGRA Ordinance, 2002. In line with the government’s role, it has advised OGRA to establish and communicate revised natural gas sale prices.

It’s worth noting that the federal government is responsible for determining sale prices for different categories of natural gas consumers. This decision-making process takes into account various factors, including socioeconomic considerations and sectoral policies. The government also considers adjustments in cross-subsidy and the Gas Development Surcharge as part of its pricing strategy.

New Gas Prices

Following the government’s directives, OGRA has now officially announced the adjusted natural gas sale prices, which became effective on November 1, 2023. The revised pricing structure is detailed as follows:

  1. Fixed Monthly Charges:
    • Domestic consumers in the protected category will now pay a fixed monthly charge of Rs. 400.
    • Non-protected category consumers will face an increase in their fixed monthly charges. Those consuming up to 1.5 hm3 (hectometres cubed) will pay Rs. 1,000 per month.
    • For consumers exceeding the consumption of 1.5 hm3, the monthly charge will be Rs. 2,000.

Impact on Consumers

The adjustment in natural gas prices, particularly the increase in fixed monthly charges for non-protected category consumers, is expected to have a significant impact on household budgets. It is advisable for consumers to review their gas consumption and budget accordingly, considering the revised pricing structure.

As this development unfolds, it is essential for consumers to stay informed about any further changes or notifications regarding natural gas prices. The government and OGRA are continually working to balance the needs of consumers with the economic realities of the energy sector.

M Ramzan
M Ramzan
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