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Following the unending CNG crisis, over 150 CNG conversion stations established in the metropolis have shut its operations; it is learnt here on Friday. Amongst over 300 CNG conversion stations, over 150 stations have suspended its operations, owing to unfriendly business environment.
During brief visit to the city's markets, some prominent conversion stations owners told Business Recorder that they were facing hardships to meet their running expenditures, forcing them to wind up businesses. They said that over 150 conversion stations had been closed and many more were in pipeline because of unsuitable business condition.
They said the owners of conversion stations in order to revive the CNG sector had cut their profit margins, despite facing strict ban of the import of CNG kits and cylinders, but all their efforts after what they said 'a fabricated CNG shortage' went in vain, they lamented. They alleged the authority for creating an artificial gas crisis in Sindh to discourage the use of CNG as alternate fuel, leaving the stakeholders of CNG sector in an uncertain state.
They said the business of conversion stations had drastically declined as the consumers after CNG crisis were now reluctant to install conversion kits in their vehicles. Moreover, they said the average sales of an ordinary station was 10 CNG kits per day but after import ban on CNG kits and unprecedented gas loadshedding, they were unable to meet the same ratio in whole month.
They said that after cylinder blasts, the concerned government officials conducted surprise raids, which were solely aimed at getting bribes and added that those officers after examining all legal documents used to threaten them for high penalties, if they refused to grease their palms. Replying to a question, they said that no new investors were keen to pour investment in this sector because of unabated CNG crisis and feared that consumers might deprive from this cheaper and environmental friendly fuel, if no solution was made to resolve CNG issue.
They said the concept of pocket-friendly fuel had completely been destroyed after inconsistence government policies, forcing motorists to revert to petroleum products again. Moreover, they said although the government saved over two billion dollars foreign exchange per annum and generated revenue to the tune of over Rs 32 billion from CNG sector, some unscrupulous elements in the government were keen to promote LPG sector just to mint undue gains on account of commission.
They said the Ogra despite several meeting with the stakeholders remained unable to draft the formula of CNG price, creating immense difficulties for the motorists and the CNG sector as well. They said the authority concerned instead of encouraging the use of LPG should chalk out comprehensive plan to protect one of its major revenue sources.

Copyright Business Recorder, 2012

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