APCNGA rejects SNGPL demand

All Pakistan CNG Association on Wednesday rejected the demand of Sui Northern Gas Pipeline Limited (SNGPL) to increase the gas tariff by Rs 30 per mmbtu and announced to open all CNG stations during gas holidays. Oil and Gas Regulatory Authority (Ogra) held a closed-door session of public hearing of review petition filed by SNGPL to raise gas tariff by Rs 30 per mmbtu.
Ogra barred all stakeholders including CNG station owners as well as media persons from coverage of the public hearing regarding the increase in gas tariff. Public hearings are always conducted to listen to public comments on proposed review but due to protest by CNG association, Ogra held closed-door session.
APCNGA chairman Ghiyas Paracha announced to start protest against anti CNG policy of Ogra and gas distribution companies that were making money clandestinely by enhancing gross caloric value (GCV) in gas bills. "The inflated bills are the result of unfair increase in GCV," Paracha said, adding that SNGPL was making Rs 6 billion per month on account of raise in GCV and demanded Ogra to intervene for its refund.
During the protest members of CNG association raised slogans against anti consumer policies of Ogra which were extending unfair support to gas utilities just to earn its commission. According to a statement issued by APCNGA, CNG owners and staff members staged a protest demonstration in front of Ogra head office against this increase.
"We condemn anti CNG policy of Ogra and gas distribution companies. Gas curtailment should be finished, overbilling should be stopped, problem of low gas pressure should be resolved, rate of GCV should he decreased or extra amount should be refunded, otherwise, CNG rate should be revised.
Ghiyas Paracha while addressing the rally said that SNGPL demanded an increase of Rs 30 per mmbtu, which will give approximately Rs 400 million annually extra to SNGPL to meet its expenses of new office building and reinduction of employees. It will increase Rs 2/kg for CNG consumers and they cannot hear this. Ghiyas Paracha said SNGPL is already 'looting' Rs 4 billion per month from its consumers without any prior legal intimation. It causes Rs 4/kg increase in gas rates to CNG stations. He said gas loadshedding in Punjab, increase in GCV, overbilling, low gas pressure and increase in electricity has caused huge losses to CNG sector.
"We have demanded a refund to address this loss from Ogra as per the ECC formula but four months' continuous struggle seems in vain. Ogra is not doing any welfare for the CNG and general public. If Ogra fails to resolve our issues then there is nothing for CNG sector: This institution should be closed. He said if the government doesn't take our issues seriously, our next protest demonstration will be held in front of Parliament House.