OGRA to Probe LPG Overcharging Allegations Against SNGPL

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ISLAMABAD: The Oil & Gas Regulatory Authority (OGRA) has initiated an investigation into complaints of overcharging for liquefied petroleum gas (LPG) by Sui Northern Gas Pipelines Ltd (SNGPL).

Consumer Rights Advocacy (CRA), an Islamabad-based non-profit organization, reported to OGRA that SNGPL was selling LPG cylinders at Rs3,253, exceeding the maximum notified price of Rs2,953.36 for an 11.8-kg cylinder set by OGRA for January 2025. Receipts from early January were submitted as evidence.

The CRA highlighted that LPG, a primary fuel in rural and hilly areas, is already significantly more expensive than natural gas and LNG. “Overcharging by Rs299.64 per cylinder is a blatant violation of the law and undermines public confidence in regulatory oversight,” said CRA President Muhammad Arif, a former OGRA member.

OGRA Chairman Masroor Khan assured a thorough investigation under the authority’s standard procedures and legal framework. “Corrective actions will be taken if discrepancies are confirmed,” he said.

An SNGPL spokesperson declined to comment, but an official acknowledged the higher charges, attributing them to delivery costs. The official claimed that OGRA’s price cap was below the actual cost of imported LPG, and SNGPL supplied cylinders at zero profit under federal directives.

OGRA’s price notification for January, issued on Dec 31, 2024, followed government policy requiring uniform maximum LPG prices across the supply chain for both indigenous and imported LPG.

Story by Khaleeq Kiani

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