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  Home > Finance > CNG Prices in Pakistan
 CNG Prices in Pakistan
30 Jun, 2015

CNG Price in Pakistan - According to the reliable sources, The Ministry of Petroleum and Gas has decided to raise prices of natural gas from July 1st 2015. Gas prices may go up after the gas infrastructure bill was approved. The gas prices are likely to scale up by 53 % for industrial consumers, 18 % for commercial consumers and 64 % for fertilizers factories. The source said that the price of CNG is also likely to rise by 25 % after the bill was approved. CNG (Compressed Natural Gas) prices are remain unchanged in Pakistan for the month of June 2015. According to the OGRA (Oil and Gas Regulatory Authority), CNG Prices in Region-1 is Rs. 76.35 per kg (Region-1: Khyber Pukhtunkhwa, Baluchistan, Potohar region; Islamabad, Rawalpindi and Gujar Khan) and CNG prices in Region-2 is 71.5 per kg (Region-2: Sindh and Punjab excluding Potohar region).

CNG Schedule in Karachi - Sui Southern Gas Company Limited (SSGC) has been issued a weekly CNG stations shutdown schedule for Karachi - Sindh province. CNG stations will be closed for 24 hours only each day from 29 June Monday at 8:00 a.m Morning. Again CNG stations will be closed on Wednesday 1st July and on Friday 3rd July respectively.

CNG prices are according to the OGRA and CNG stations weekly schedule for Karachi-Sindh is according to the Sui Southern Gas Company Limited, moreover users can find CNG load management schedule for Lahore Punjab according to the Sui Northern Gas Pipelines Limited on our Facebook page. The following table of CNG prices in Pakistan shows the CNG prices of region 1 and region 2. The monthly revision of CNG prices are proposed by OGRA to the ministry of finance of Pakistan. CNG weekly closure schedules or emergency closure are informed by the Sui northern and southern gas companies for different cities and sectors including CNG stations, production companies residential etc in Pakistan. For CNG weekly closure schedules or emergency shutdown of CNG please visit Facebook of PakBiz. CNG is one abundant using in Pakistan, massively CNG consumes in domestic level, and in different passenger vehicle (Road Transport), and then industries are also using CNG for various productions.

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Product Retail Price
CNG Region-I
(Khyber Pukhtunkhwa, Baluchistan, Potohar region; Islamabad, Rawalpindi and Gujar Khan)

     Rs. 76.35 /Kg
CNG Region-II
(Sindh and Punjab excluding Potohar region)

  Rs. 71.5 /Kg

CNG Price in Pakistan - CNG prices are updated every month by OGRA-Oil & Gas Regulatory Authority of Pakistan. CNG prices are causes major impact on Pakistan's economy and it is directly effects on general public. The CNG prices are a huge concern for millions of people in Pakistan as the major chunk of vehicles use gas to be driven on the roads. The compressed natural gas is used throughout the country in the major traffics because it provides better cost average than gasoline and diesel. It is also cheaper in price than that of gasoline and diesel fuels.

With the resumption of gas supply to compressed natural gas (CNG) filling stations in Punjab after import of liquefied natural gas (LNG), the Italian government has called on Pakistan to abolish the duty on import of parts for CNG cylinders and kits. The government had imposed 20% duty on the import of parts in last year’s budget, which upset Italy-based multinational company Landi Renzo that had been installing CNG cylinders and kits in locally manufactured vehicles. The duty has been kept unchanged in the new budget as well. s estimated at €7.7 million. Apart from catering to the domestic market, the company exports its kits to Brazil, China, Iran and Italy with export volume standing at €3.7 million.
Nouman Mahmood Mon 29 Jun, 2015

The gas supply-demand gap has reached 4 Billion Cubic Feet per Day (BCFD) as total gas demand of the country is 8 BCFD against total supply of 4 BCFD, reveals Economic Survey of Pakistan. According to Economic Survey of Pakistan (2014-15) the gap started widening when gas being cheaper was substituted for oil due to the political will, adding new consumers on account of annual development schemes. The survey revealed that during July 2014 to February 2015, the two Gas utility companies (SNGPL & SSGCL) have laid 72 km gas transmission network, 1,040 km distribution and 758 km service lines and connected 59 villages/towns to gas network. Thus a total 206,473 additional gas connections including 206,127 domestic, 249 commercial and 97 industrial were provided across the country. It is expected that gas will be supplied to approximately 419,445 new consumers during the fiscal year 2015-16. It said constrained natural gas demand stands at 6 BCFD against supply of 4 BCFD while the unconstrained demand for gas is estimated to be 8 BCFD or more than double the current domestic production. One risk associated with this sector is that there is continuous depletion of existing natural gas fields while the pace of new gas discoveries is quite slow. The government is pursuing its policies of enhancing gas production to meet the increasing demand of energy in the country. Still for supply of gas, the government has given priority to domestic and commercial sectors followed by power sector while general industry, fertilizer and captive power sectors is on third priority. Cement and CNG sector are respectively on fourth and fifth priority of the government for supply of gas. There is no gas load shedding in domestic and commercial sectors in the country. However, the Sindh and Peshawar High Courts have directed the federal government to adhere to the provision of Article 158 of the Constitution therefore the gas load management is mostly restricted to Punjab Province as its share in gas supply is about 5 percent while it has a share of almost 46 percent of national gas consumption. The worrisome factor is that Pakistan's local gas reserves are depleting and if gas consumption grows annually even at moderate rates, the present recoverable reserve will largely be exhausted by 2025. As this limit approaches the marginal cost of gas supply will rise. The government promoted use of Compressed Natural Gas (CNG) to reduce pollution and to improve the ambient air quality. During past few years, CNG Industry has observed a tremendous growth. At present, Pakistan is the world leading CNG user country with more than 3 million Natural Gas Vehicles (NGVs) plying on the roads. The choice of conversion is mainly due to the fact that price of CNG is significantly less than petrol. At present there are 3,414 CNG stations across the country. Liquefied Petroleum Gas (LPG) contributes to about 0.5 percent of country's total primary energy supply mix. Use of LPG as a domestic fuel is being encouraged. Increasing demand of natural gas with its limited supply has made room for Liquefied Petroleum Gas (LPG) which is also primary source of energy. The total supply of LPG during July-March, 2014-15 was 494,763 tones, accounted for about 0.5 percent of the total primary energy supply. Gas producing fields contributed 53 percent followed by refineries and imports with share of 26 percent and 21 percent respectively. Because of its characteristics LPG is fast becoming a fuel of choice in areas where natural gas distribution network is not available. The Oil and Gas Regulatory Authority (OGRA) is empowered to regulate the LPG sector under OGRA Ordinance, 2002 and LPG (Production & Distribution) Rules 2001 from March 15, 2003. The OGRA has simplified the procedure for grant of LPG license and the same is granted on fast track basis once the requirements are met. Currently there are 12 LPG producers and 97 LPG marketing companies operating in the country having more than 4,482 authorized distributors. Due to augmented investment and future expansion plans of the LPG marketing companies, significant investment in LPG supply and distribution infrastructure has been witnessed. The government has started importing Liquefied Natural Gas (LNG) to bridge widening gap between demand and supply. Energy cost calculations clearly prove that RLNG is cheaper than ALL other imported fuels for power generation in Pakistan. On April 27, 2015, the delivered price for fuel to power plants in Northern Pakistan on equivalent basis was $11.5/MMBTU for LNG, $12.6/MMBTU for HSFO, $13.8/MMBTU for LSFO, and $22.8/MMBTU for Diesel. In this context, LNG with a notional Brent linkage of 14.5 percent is 10 percent cheaper than High Sulphur Furnace Oil (HSFO), 20 percent cheaper than Low Sulphur Furnace Oil (LSFO), and half the price of Diesel. In addition, as a fuel for power generation, LNG as compared to liquid fuels provides (i) substantially greater efficiency (ii) lower maintenance costs (iii) no storage costs (iv) easy transportation and (v) no pilferage or adulteration issues.
Liaqat Ali Balouch Mon 29 Jun, 2015

The government has passed on the full impact of gas theft to the compressed natural gas (CNG) industry that utilises imported liquefied natural gas (LNG). Petroleum Minister Shahid Khaqan Abbasi confirmed that the CNG sector will bear the burden. “When you put CNG stations in houses, then this is what happens,” Abbasi added. Presently, Sui Northern Gas Pipelines Limited (SNGPL) is recovering 11% of the unaccounted for gas (UFG) from consumers using imported LNG in CNG stations, said officials, adding that the current price of LNG for CNG industry is $12.5 per million British thermal units (mmbtu). The price includes the cost of LNG, 4% commission for Pakistan State Oil (PSO) and transportation charges of 57 cents per mmbtu to be given to the gas utility. Industry sources said that the petroleum ministry was going to seek a formal approval of the Economic Coordination Committee (ECC) that would allow the implementation of the schedule of charges. The CNG industry has also been allowed to deregulate prices at their stations. Under the deregulated mechanism, the Oil and Gas Regulatory Authority (Ogra) will not intervene and the CNG industry would be free to set the price of LNG. The ECC has already allowed the regulator to set the price of LNG, following the pattern of other petroleum products. However, Ogra will be restrained from notifying prices of LNG for CNG stations following approval of the economic decision making body. Before 2008, price of gas for the CNG industry was deregulated before being controlled. However, the government now wants to revert to the deregulated regime. Industry sources have hailed the government’s decision, stating that deregulation would revive the CNG industry that has long suffered due to gas shortage. They added that the price of LNG for CNG stations was still lower compared to petrol. The government had earlier announced that it would re-open CNG stations from May 29 till June 6 without any break. SNGPL officials said that 200 CNG stations had re-opened after depositing their arrears. They said the process would continue as long as stations clear their dues.
Kamal Ahmed Lala Mon 29 Jun, 2015

CNG has also gone missing in Punjab after electricity. CNG stations will remain closed for 5 and half hours daily under the new schedule issued on Friday by Sui Northern Gas Pipelines. The stations will not be providing CNG during the Sehr and Iftar hours, reported Dunya News. According to the details, the CNG will not be available at the stations from 2 am to 3.30 am and from 4 pm to 8 pm. Sui Northern had collected Rs. 1,200,000 as additional security fee from the CNG stations only a few days back but after increase in demand on the first day of Ramazan, CNG supply has been affected.
Samar Ahmed Mon 29 Jun, 2015

One new I want to share all, Mere months after the severe fuel crisis of January 2015, the Punjab and parts of Khyber Pakhtunkhwa are experiencing a major fuel shortage again. To make matters worse, prices of all the petroleum products except high-speed diesel are expected to increase from July 1, 2015, according to official sources, petrol price is going to increase by Rs 3.06 per liter. In view of this Khawaja Atif, general secretary of the Pakistan Petroleum Dealers Association (PPDA), blames the OMCs, including Pakistan State Oil, for rationing petroleum and not releasing supplies according to the demand, therefore creating a shortage of fuel. OGRA has been blamed for issuing excess licenses to new OMCs last year, while others blame the conflict over freight shipping rates between the PSO and Pakistan National Shipping Corporation. Due to this mismanagement and the lack of stricter regulation of the OMCs, the citizens continue to suffer in Ramazan with hours of load shedding and now a fuel shortage that could mean days of unproductivity on end. The slight respite from the situation that consumers received was the news of CNG stations reopening all over Punjab after a long gap of eight months. This would have been positive news for masses as CNG is cheaper and a cleaner fuel to consume, if only the cost had not been increased by almost 25 percent. A medium sized CNG cylinder that cost Rs 600 to fill up now costs around Rs 750. The Liquefied Petroleum Gas Association (LPGA) has blamed the Sui Southern Gas Company (SSGC) for making a hefty increase in the imported LPG prices and termed it an “anti-masses decision”. The actual problem comes down to accountability. Where there are so many independent bodies in control of the regulation and distribution of resources such as Fuel, Gas and Power, stricter measures have to be taken to hold them accountable. This game of blaming the other and escaping the heat temporarily has to end. The government has failed on many platforms to resolve this ongoing crisis. Instead of focusing on long term goals like investing in and developing renewable energy resources, all we see is the shift of dependency from oil to gas and short term quick fixes like importing LNG from the Middle East.
Khawaja Abdul Majeed Mon 22 Jun, 2015

The Ministry of Petroleum and Gas has decided to raise prices of natural gas from July 1. A source in the ministry said that the gas prices could go up after the gas infrastructure bill was approved. The gas prices are likely to scale up by 53 per cent for industrial consumers, 18 per cent for commercial consumers and 64 per cent for fertilizers factories. The source said that the price of CNG is also likely to rise by 25 per cent after the bill was approved.
Umer Lakhani Mon 22 Jun, 2015

CNG prices should be deceased more, not enough remain unchanged, Petrol and diesel usually utilize common persons, I want to asked Government why Petrol and Diesel prices are same to all, it should be categorically distributed among common man and industrial use.
Syed faizan Mon 15 Jun, 2015

Today is CNG stations are closed in Karachi, nice and timely updated. Keep it up
Jibran Atta Sat 13 Jun, 2015

Why SSGC - Sui Southern Gas Company Limited change schedule after one, usually once or twice in a month SSGC keeps revised weekly CNG stations shutdown schedule, it should not be done, because most public who travel in local or public transport are disturbed badly, and also SSGC increased schedule days in this regards.
Babar Ahmed Poona Wed 10 Jun, 2015

it is nice, i keep visiting PakBiz for CNG price and CNG schedule updates in Karachi. All the updates are accurate and authentic, it is nice service you are providing to general public of Sindh and mainly residents of Karachi. Keep it up
Waqar Qadri Tue 09 Jun, 2015

The rate of GIDC rate has been reduced through Bill passed by the Parliament from Rs. 300/MBTU to Rs. 200/MBTU for CNG sector. The OGRA is still sleeping and the benefit is not passed on to the consumers. Why?????????????????
Shahzad Ali Wed 03 Jun, 2015

Lahore mein bhi khol do. Dhandli karne walo
Leo Sat 30 May, 2015

Allah ka wasta hey khol do gareeb log to mar chukay hain
Malik saeed Wed 27 May, 2015

Allah ka wasta hey khol do gareeb log to mar chukay hain
Malik saeed Wed 27 May, 2015

if you want to buy a gold bar or dust,I have it.just contact me through my email and we start business.
Larry mills Tue 19 May, 2015

Once upon a time in the myth of Prize Bond, Hahahah, ab nhi lage ga to kab lagy ga bhai, kafi dino se try kr rha hun ab tk ek bhi nhi lga.
Aani - A girl Fri 15 May, 2015

THE muddle that has been created with the Liquefied Natural Gas (LNG) project reflects both a lack of clear thinking as also clumsy planning and implementation. While much fuss has been made in the media about logistical difficulties, most of these could be put down to ‘teething problems’ allowing for a very generous definition of the term. Essentially, the muddle is the cause of bad economics, not logistical difficulties. The economics was very simple to work out, perhaps easier even than the logistics. Before the government embarked on the project it ought to have worked out who the LNG was for and at what price was it going to be offered. It should have looked at the cost of the present fuel to the user and how much saving LNG would bring. Fuel-switching decisions are economic decisions. The question really was who would be willing to pay $14 per MMBTU for re-gasified LNG? Once we had identified potential takers the question of putting in a supply chain to meet demand was merely a technical one. Let’s look at the major users of gas one by one. The fertiliser sector uses it as feedstock and is presently being sold gas at the rate of $1-2 per MMBTU (Engro for even less). The domestic consumers receive it for between $1-3 depending on the slab the user falls into. For decades, gas has been hugely underpriced in Pakistan and that has led to excessive and wasteful demand and it has served as a disincentive to new discovery because the financial reward does not justify the cost of prospecting. The question of LNG apart, these prices need to be urgently reviewed as they are creating market distortions and leading to poor allocation of resources.
Moazzam Thu 07 May, 2015

It is simple economics - reduce the prices and demand will rise. That is what has happened in the case of fuel consumption in Pakistan when the impact of fall in international price was passed on to the consumers. From January-April 15, the sale of Mogas (petrol) has increased by 36 percent year-on-year. The average price of Mogas during the period was down by 34 percent year-on-year. In case of HSD, the consumption during 4MCY15 increased by 28 percent year-on-year, as the average prices reduced by 29 percent in the same period. Its a windfall for OMC marketing companies and dealers as their margins are fixed in rupees per liter sales. More they sell, higher is the profit. Not all of the increase in sales is due to sheer increase in demand at lower prices though. Part of is attributed to substitution from CNG to Petrol/diesel as the price gap between the fuels has narrowed down significantly to induce people to opt for easily accessible petrol in case of private vehicles and diesel for the use of public transport. The data of CNG is not readily available to show exact numbers. The substitution is good. BR research is a staunch opponent of using CNG as a transportation fuel especially in case of private vehicles. The premise is simple - the country is facing severe shortage of gas and the scarce indigenous resource must be used judiciously. This column has long argued for the use of pricing tool to set the priorities right. However, what happened in the past few years was exactly the opposite. The price distortions were in favour of vehicle users, incentivizing them to switch on the readily available cheaper alternate fuel that is the CNG. In June 2014, CNG prices were 46 percent of petrol equivalent while the government levied some tax to marginally reduce the discount to 50 percent in July 14. The gap was more than enough for marginal consumer to install a CNG kit and wait in the long CNG queues. Today, the CNG discount to petrol is shushed to 27 percent. Make no mistake as it is still lucrative for some to consume CNG but for others, the price of long queues and potential damage to vehicles is higher than the price differential. In absence of CNG consumption numbers, substitution hypothesis cannot be validated. The higher consumption led to unprecedented petrol crises in up-north in the winters. And now the government is ensuring higher imports, but in the process, import bill might keep on increasing to nullify the impact of drop in oil prices. The government realized that fully passing on the impact of fuel prices down to consumers could be counterproductive in January when it increased the GST from 17 percent to 22 percent on Mogas and HSD. One reason for the bold step was that the Dharna had ended and the government was facing the wrath of people due to acute shortage in North. But the government was unable to reverse the price cycle once it had passed the impact to consumers and is now trying to manage the price at current levels. In April, although international oil prices increased but the government decided against increasing retail prices and slashed the sales tax to earlier levels. Pakistan would do well to make the most of the opportunity provided by lower oil prices. Yes, the consumers deserve relief, but economic realities too deserve a look.
Ghulam Saeed Thu 07 May, 2015

Tahreek-e-Bahali-e-CNG chief organiser Raja Jahangir Akhtar has alleged that the government is pleasing influential textile sector at the cost of CNG industry. Speaking at a protest rally in Hassan Abdal, Jehangir Akhtar said that influential lobby of the owners of Captive Power Plants (CPPs) which is wasting gas worth Rs 70 billion per annum is one of the biggest hurdle is the resolution of the energy crisis in Pakistan. He said the powerful lobby which had been getting natural gas at dirt cheap prices since last five years without the permission of Ogra and Nepra was still enjoying unprecedented influence in the corridors of power. Those who are getting natural gas at 91 per cent discounted rates as compared to furnace oil are being patronised despite the opposition by the Planning Commission and Ogra while they have sent packing petroleum ministers and four federal secretaries which have terrified the bureaucracy.
Sardar Khan Thu 07 May, 2015

AOA Can Anyone please tell me when CNG is opening in Lahore
Aftab Malik Mon 04 May, 2015

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