Engineering Post report
The federal government has withdrawn regionally competitive energy tariff (RCET) previously granted to five export -oriented sectors with effect from May 01,2023 resulting in an increase of the Liquefied Natural Gas (cost from $ 0/MMBTU to the full rate of $ 13.5/MMBTU.
Till this drastic withdrawal move, the federal government had been providing for sometime RLNG /gas at $0 per MMBTU under the RCET to the textile, carpets, leather, surgical and sports goods sectors.
However, from May 01,2023 onwards the price of RLG/gas for these sectors has gone up to the $ 13.48/MMBTU as per notification of the Oil and Gas Regulatory Authority (OGRA). The budgeted subsidy allocated for these sectors has been fully exhausted and the RCET facility as such stands withdrawn.