ISLAMABAD - Oil and Gas Regulatory Authority (Ogra) has decided to raise the gas tariff by Rs 1.85 per MMBTU and Rs 3.69 per MMBTU for Sui Northern Gas Pipeline Limited (SNGPL) and Sui Southern Gas Company Limited (SSGCL) respectively to meet revenue requirement for financial year 2010-11. About the decision about SSGCL, Ogra says, the Authority decided to adjust the shortfall by increasing the average prescribed price by Rs. 3.69 per MMBTU w.e.f. July 01, 2010, translating into an increase of 1.32% for all categories of consumers except domestic, special commercial and fertilizer feedstock. The petitioner (SSGCL) submitted review petition on October 18, 2010, under Section 8(2) of the Ordinance (the petition), projecting a shortfall of Rs. 10,891 million in the determined ERR, translating into an increase of Rs. 59.51 per MMBTU, w.e.f. January 01, 2011 (Rs. 30.07 per MMBTU on annualised basis for the said year) based on the following claims for the said year: About SNGPL, Ogra decision says; the Authority decided to adjust this shortfall by increasing the average prescribed price by Rs. 1.85 per MMBTU w.e.f July 01, 2010, translating into an increase of 0.71% for all categories of consumers except domestic, special commercial, fertilizer feedstock and Liberty Power. This revision in prescribed prices will, however, not entail adjustment in consumer prices. The petitioner (SNGPL) submitted an amended petition to Ogra on October 22, 2010, requesting that Rs. 234.72 million be allowed to pay the cost of reinstated employees in addition to Rs. 318 million already allowed on this account in DERR for the said year. The petitioner has explained that additional amount is based on the latest number of reinstated staff. The petitioner has projected shortfall of Rs. 13,239 million in the determined ERR, translating into an increase of Rs. 42.35 per MMBTU, w.e.f January 01, 2011 (Rs. 21.37 per MMBTU on annualised basis for the said year). The interveners during public hearing of SNGPL said that the gas theft law must be enacted on immediate basis to curtail ever-rising theft and resultantly UFG. It was agitated that petitioner staff is involved in rampant gas theft. The petitioner must introduce appropriate schemes wherein persons reporting gas theft cases should be duly rewarded, in line with the existing electricity utility company. The gas consumers must not be punished on account of the relaxation in UFG benchmark of the petitioner. It was highlighted that the Pennsylvania Public Utilities Commission advocates maximum UFG of not more than 4%. The revised provisional prescribed prices w.e.f. January 01, 2011 are subject to the condition that these may be re-adjusted upon receipt of government of Pakistan advice under Section 8 (3) of the Ordinance in respect of the sale price of gas for each category of retail consumers provided that the overall increase in the average prescribed price remains unchanged so that the petitioner is able to achieve its total revenue requirements in accordance with Section 8 (6) (f) of the Ordinance. Under Section 8 (3) of the Ordinance, the GoP is required to advise the Authority, within 40 days of advice from the Authority of revision of prescribed prices, the minimum charges and the sale price for each category of retail consumers, for notification in the Official Gazette by the Authority, decision adds.