Pakistan Raises LNG Prices by Up to 16.17% as New Monthly Rates Take Effect

ISLAMABAD: The federal government has announced a significant hike in liquefied natural gas (LNG) prices by revising the tariffs of both Sui Northern Gas Pipelines Limited (SNGPL) and Sui Southern Gas Company (SSGC) under the latest monthly pricing mechanism.

According to an official notification, LNG prices have been increased by up to 16.17 percent, reflecting changes in import costs and pricing calculations. The revised rates will be applicable to consumers served by the country’s two major gas transmission networks.

The notification said that the price of LNG has been increased by $2.59 per million British thermal units (MMBTU) for consumers connected to the Sui Southern Gas Company (SSGC) network. After the revision, the new price of LNG for SSGC has been fixed at $18.64 per MMBTU.

Similarly, consumers getting gas through the Sui Northern Gas Pipelines Limited (SNGPL) system will also face higher LNG charges. According to the notification, the SNGPL price has been increased by $2.54 per MMBTU, taking the revised rate to $19.52 per MMBTU.

The latest adjustment comes as Pakistan continues to manage fluctuations in international energy prices and the cost of imported LNG, which is a key component of the country’s energy mix. LNG is used to meet domestic, commercial and industrial gas demand, especially during peak consumption periods.

Energy sector experts note that periodic changes in LNG prices are linked to international market trends, import contracts and exchange rate movements. Any increase in LNG tariffs could impact the operating costs of industries and businesses that rely on imported gas, while also impacting energy costs across various sectors of the economy.

The revised LNG prices will come into effect as per the official notification and will be applicable to consumers connected to both SNGPL and SSGC transmission systems during the current pricing period. The authorities have not announced any additional changes in the pricing mechanism apart from the revised monthly rates.