Price hike forces commercial consumers to disconnect gas connections

Facing a record surge in gas prices, commercial consumers have begun disconnecting their connections, reported the 24NewsHD TV channel on Tuesday.

Sources reveal that over 700 customers of Sui Northern Gas Pipelines Limited (SNGPL) have cut ties with the utility due to unaffordable tariffs. This mass disconnection has hindered the company’s ability to achieve its financial targets.

The federal government has set the natural gas tariff for commercial consumers at Rs3,900 per MMBTU, exceeding the price of imported LNG, which stands at Rs3,600 per MMBTU. Unable to bear the burden of increased costs, many commercial users have transitioned to LPG as a more economical alternative.

Industry experts warn that the exodus of consumers will impact SNGPL’s revenue targets while pushing many businesses toward alternative energy sources.

Reporter: Shahid Sipra