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Khyber Pakhtunkhwa govt gears up to sell RLNG at double price

Aftab Mohmand by Aftab Mohmand
July 14, 2020
in Citizen Journalism
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PESHAWAR: A report has revealed that Khyber Pakhtunkhwa government is gearing up to sell Re-Gasified Liquefied Natural Gas (RLNG) at double price.

Documents have revealed that diversion of the natural gas produced in KP to Punjab because of its high demand was extremely likely to become a cause for hike of its price.

KP produces 430 mmcfd and its maximum consumption is 275 mmcfd in winters. On the flip side, Punjab produces 153 mmcfd and its consumption in winters is 1,181 mmcfd.

Also Read: Khyber Pakhtunkhwa govt establishes first coronavirus hospital in Peshawar

“To fulfill the gas demand of domestic sector of Punjab during the winter season FY 2018-19, the Economic Coordination Committee decided to divert RLNG to it at indigenous price rate which resulted in a financial impact of Rs19 billion to SNGPL.

“Similarly, to cater the needs of domestic sector during the winter season of FY 2019-20, SNGPL without approval of ECC diverted the expensive RLNG to the domestic sector which resulted in an estimated financial impact of Rs54 billion. To recover the losses of Rs73 billion the federal government and SNGPL have proposed to shift the burden on consumers of KP in the form of high gas prices,” read the documents.

Tags: double priceKhyber Pakhtunkhwa govtRLNG
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