Lahore July 7 2022: Sui Northern Gas Pipeline Limited (SNGPL) due to concerted efforts was able to reduce UFG in both percentage terms and volume, according to information shared by the company.
The UFG percentage decreased from 10.10% (10,192 MMCF) to 9.63% (8,674 MMCF) and accordingly UFG disallowance decreased from Rs 1,705 million in the corresponding period to Rs 1,292 million for the period from July 2021 to September 2021.
During the quarter ending September 2021, SNGPL has earned profit after tax amounting to Rs 3,032 million against a profit of Rs 3,181 million for the corresponding period. The earnings per share for the period was Rs 4.78 as against earnings per share of Rs. 5.01 for the period ended September 30, 2020.
OGRA in its decision of Estimated Revenue Requirement ('ERR') of the Company for FY 2021-22 dated August 17, 2021, in line with the tariff regime in vogue, has reworked the Rate of Return on Average Net Assets (ROA) for the year 2021-22 and for a further period of two years at 16.60% as compared to the previous ROA rate of 17.43% determined upto 2020-21. Through the same decision, OGRA has revised depreciation rates of various operating assets particularly transmission and distribution network and allied facilities of the Company from present rates of about 6% per annum to the rates ranging from 2.5% to 5% per annum.
Reduction in ROA coupled with certain adjustments which the regulator made in the treatment of certain revenues contributed adversely in the reduction of profit for the period under review.
During the three month period, company has completed/commissioned 47.73 KMs Transmission Lines with diameters ranging from 8” to 24”. In addition to Transmission Lines, 110 KMs of Distribution mains were laid during 1st Quarter ended on September 30, 2021 for improving pressure and supplying gas to new towns which has enhanced customer satisfaction level.
Sui Northern Gas Pipeline Limited is working on the project of developing digital maps of Transmission and Distribution systems through utilization of Geographic Information System (GIS) technology. GIS maps are helping the management and users to visualize the pipeline network and customers related information through interactive Web-Apps and GIS Dashboards. So far, Distribution pipeline network (4”-24” dia) of five cities, whole Transmission pipeline network, all customer locations, customer complaints, leakage detection points and TBS service area boundaries are mapped and available through GIS portal across Company.