ISLAMABAD: In a bid to unify feed gas fees for fertiliser industry with industrial fees, the authorities has improved the gas sale prices for three fertiliser vegetation that use fuel from Mari Petroleum employer restrained (MPCL), The news said Tuesday.
The Oil and gas Regulatory Authority (Ogra) notified the 3 vegetation — Engro Fertiliser, Fauji Fertiliser (Rahim Yar Khan), and Fatima Fertiliser — that are powerful from October 1, 2023.
The plants pays Rs580/MMBtu for feedstock and Rs1,580/MMBtu for fuel stock. The move comes amid issues that the fertiliser industry is accused of now not passing on subsidies to farmers. After the decision, those agencies may similarly growth urea expenses no matter having significantly increased prices.
A senior official of the petroleum division stated that even though the unification will store over Rs85 billion, the allocation of those budget to small farmers remains uncertain. With this revision inside the fuel sale fee for fertiliser, the predicted annual internet fine differential margin from the fertiliser zone might be over Rs16 billion for FY 2023-24.
It’s miles to be mentioned that ultimate December, Mari Petroleum organization inked a deal with three important fertiliser corporations to sustain MPCL’s Habib Rahi Limestone fuel manufacturing.
Mari said, “Mari Petroleum business enterprise confined has done a Framework agreement for the set up of strain Enhancement centers at Mari fuel discipline, Daharki, Sindh with FFC, ENGRO, and FATIMA.”
The assignment includes building pipeline infrastructure, optimising the floor pipeline community, and installing compressors within the Mari field.
Underneath the Ogra Ordinance, gas sale prices for fertiliser plants on SSGCL and SNGPL structures are revised every now and then; but, charges for MPCL’s plants have now not been revised due to the fact that October 23, 2020.
It is to be mentioned that there are 10 fertiliser flora in Pakistan, and six of them obtain committed components from Mari’s network. fuel supply Agreements for 6 Mari-based vegetation are valid until June 2024.
