ISLAMABAD - Oil and Gas Regulatory Authority (Ogra), in its revised decision about determining the ratio of gas theft and declaring operating income as non-operating income of gas companies for next fiscal year, has now deprived the gas consumers of multi-billion rupees relief.
It is to be noted here that Ogra, in its earlier decision pertaining to ratio of tariff of both gas utilities for next fiscal year, had given approval to trim down the tariff of SSGCL by 34.34/mmbtu while for upcoming fiscal year a reduction by 47.51/mmbtu in the tariff of SNGPL had also been approved only to give relief to the consumers bearing sky rocketing prices of the commodity coupled with long hours outages.
Sources further informed that both gas companies ostensibly in connivance with the Ministry of Petroleum and Natural Resources (MP&NR) had gotten stay orders against setting the 4.5 percent UfG ratio of collection from gas consumers and declaring non-operating income as operating income by the regulator which in result would benefit the private shareholders of both gas companies by Rs19billion at the cost of pressed gas consumers as gas companies would collect this heavy amount from the over burdened gas consumers during upcoming fiscal year.
Ogra in pursuit of stay orders granted by both honourable high courts (LHC & SHC) to the gas utilities has now reduced the tariff of SSGCL from 34.34/mmbtu to 15.41/mmbtu while it has also decreased the tariff of SNGPL from 47.51/mmbtu to 34.58/mmbtu in its revised decision. Ogra has also sent its advice to the federal government along with a decision in this regard, sources in Ogra revealed.
They further told that in accordance with the decision of Ogra, if LHC vacates the stay order during the hearing on the plea of SNGPL on 29th June then a notification of reduction in the tariff of SNGPL by 47.51/mmbtu would be issued.
It is worth mentioning here that Ogra had increased the ratio of collection from 4.5 per cent to 7 per cent to the gas consumers under the head gas theft and also declared the operating income as non-operating income of both gas companies during the fiscal years 2008 to 2010. Further, the NAB had completed its investigation against these two different heads of gas utilities while acting upon the direction of the honourable Supreme Court (SC) in this regard. In its investigation, the NAB had also revealed Rs36 billion losses under these two heads to consumers and national exchequer as well. However, the NAB, while taking strict action against Ogra officials involved in this ‘white collar’ crime, had attested Ogra Member (Gas) and had also issued warrant orders of Ex-Chairman Ogra Tauqir Sadiq.
But now both gas utilities (SNGPL & SSGCL) are getting this work done by the Ogra through court, sources opined.