KARACHI, Dec 23: Weary consumers may be asked to pay more after a long wait at CNG stations all over the country. Expectations are that each customer may be charged Re1 to Rs3 more to fill gas in their vehicles.
CNG Station Owners Association and CNG Dealers Association have started flexing their muscles after the announcement of increase in gas prices on December 21. They are planning to get together in a meeting to calculate the CNG price increase.
As for the first time in Pakistan’s history, there is a difference in the price of SNGPL and SSGCL in case for CNG and other commercial categories, the CNG station owners and dealers are a bit reluctant to straight away quote the actual price hike in CNG.
Sources said that the CNG station owners and dealers had sought details and notification from the Oil and Gas Regulatory Authority (Ogra) as well as from the utility companies on the gas price hike which they could not get till Friday evening. In the absence of any notification it was difficult for them to work out and calculate the actual increase in new CNG rate.
They said that the representatives of these two main associations would hold a meeting on Saturday after getting assurances from the utility companies and the Ogra officials for providing the notifications.
Due to disparity in SSGC and SNGPL rate, the CNG prices would be worked out as per location because the SSGC is responsible for gas distribution in Sindh and Balochistan, while SNGPL takes care of Punjab and the NWFP.
Stakeholders in the associations said that “the increase in CNG rate may range between Re1 to Rs3 per kg.”
“The new price of CNG is expected to be made effective from January 1, 2006,” a CNG dealer said.
During about last three years the CNG price surged 65 per cent to Rs29 from Rs17 per kg in April 2003. The term “cheaper source of fuel”, claimed by the government officials, is now slightly losing its attraction.
However, CNG station owners think that the CNG is still cheaper by at least 50 per cent consumption wise as compared to petrol consumption in cars and other vehicles.
For the 50 per cent difference, consumers are now facing an ordeal at CNG stations by waiting at least 20 to 30 minutes in the long queues to get their vehicles filled with gas.
Many CNG dealers have also adopted a strategy by placing a signboard on the floor or by covering the dispenser with paper board saying “CNG not available, sorry for inconvenience” in a bid to force the consumers to switch over to petrol at the same station. Since the prices of petrol have reached to an alarming proportion, pump stations are witnessing thin presence of petrol buyers as majority of car owners have installed CNG kits.
While the SSGC is not ready to take responsibility of low supply pressure at CNG stations, the stakeholders of the pumps are too pitted on their stand for still getting low pressure from the company. Ultimately the consumers are virtually suffering at the hands of both station owners and the utility company by wasting their time at stations in getting gas. The government is not ready to take cognizance of the consumers’ grievances.
Over 862,000 vehicles have already been installed CNG kits, while there are over 789 stations all over the country.
The popularity of the CNG can be gauged from the fact that some leading car makers like Pak Suzuki (Mehran, Alto and Cultus), Indus Motors (Daihatsu Cuore) and Dewan Farooqui Motors (Hyundai Santro) are rolling out over 50 per cent factory fitted CNG kit vehicles at their plants due to phenomenal demand from the prospective car buyers. A year back the share of assembling CNG fitted vehicles was only 25 per cent.
