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SNGPL Issues Rs72b Retrospective Bills to Lahore Industries

Pakistan Business Forum (PBF) has criticised the SNGPL for serving nearly Rs 72 billion in backdated bills to industries in Lahore.

Sui Northern Gas Pipelines Limited (SNGPL) made the demand on the basis of Ogra notification of March 2025. It citied adjustments in RLNG prices from April 2015 to June 2022 as reason behind billing. (Ogra: Oil and Gas Regulatory Authority,  RLNG: Regasified Liquified Natural Gas.)

PBF Lahore Chapter President Ejaz Tanveer said: “It is not an issue of consumer default but a failure of governance and regulation.” Ogra, he said, had failed for seven years to discharge its statutory duty of notifying gas prices. Now, said Mr Tanveer, the SNGPL penalised the industries for Ogra’s negligence.

“SNGPL’s cannot justify retroactive and unprecedented burden on industries which are  already struggling to survive.”

“Retrospective billing is unconstitutional, violating fundamental rights of industrial consumers.”

Announcement: 

The PBF announced that they will approach the top courts against the billing.

“We will file a constitutional petition in the High Court against Ogra and SNGPL. The petition would name Federation of Pakistan, Pakistan State Oil (PSO), and Pakistan LNG Limited (PLL) as respondents.” The Forum urged the judiciary to intervene to avert a looming financial crisis for industries.

PBF pointed to the deeper roots of the crisis. Flawed state contracts such as the Qatar LNG Sale and Purchase Agreement (SPA) and fixed-capacity charges linked to Engro and PGPC terminals main reason behind the crises. Coupled with years of regulatory inertia, these arrangements had unfairly shifted the burden onto industries. “Forcing the productive sectors of the economy to absorb the cost of policy failures is unjust.”

PBF has demanded immediate withdrawal of all retrospective bills. “We call for independent, high-level audit of LNG agreements and regulatory practices.”  The Forum warned that failure to take corrective measures would undermine business confidence and  cripple local industries.

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