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Most industries in the Sindh Industrial Trading Estate (Site), Karachi, largest industrial area in Pakistan, have come to a grinding halt due to low pressure of gas. Engr M.A.Jabbar, Chairman, Site Association of Industry (SAI) has expressed grave concern over this development which would result in production and exports losses running into millions of rupees.
He told Business Recorder: "It is regrettable that despite hectic calls, none of the officials are responding to explain the situation. The industry is at a standstill but I cannot be connected to the SSGC Managing Director as his secretariat's usual reply is that he is busy in a meeting."
In a letter sent to Umair Khan, Managing Director, Sui Southern Gas Co Ltd (SSGC) on February 11, his attention has been drawn to the prevailing situation of depression and fluctuation of gas pressure supply in whole Site industrial estate for the last few days. "Site is the biggest industrial area of Pakistan providing sizeable contribution to GDP and exports and as such it is the biggest purchaser of utilities, including gas, from your esteemed company," he said.
The SAI Chairman expressed surprise that the situation that affected industrial output has remained non-notified to the Association. "In the industrial area we are confronted with daily explanations sought by our members as to what is happening in SSGC, vis-à-vis low gas pressure supply. De-stability of your system should have been brought to your notice prior or immediately upon development of the adverse situation for member industries to adjust to its economics of working in the absence of proper gas supply," he said.
Textile processing units which are export oriented, committed to meeting export targets are suffering badly, he said, adding that some of SAI's valued members, consuming a considerable quantity of gas have complained of losses that can not be retrieved due to interruption of process.
There was need for developing better relationship and apprising "us as to what was going on with gas load management. How many more days it will take to restore the gas supply to normal contracted values and how do you defend the company as having not put the industry to notice prior to development of present situation."
Copy of the letter has also been sent to Secretary, Ministry of Petroleum & Natural Resources, Islamabad, and Chairman of Oil and Gas Regulatory Authority, (Ogra), Islamabad.
Jabbar said that the industry is cheated on recurring basis by SSGC through overcharged bills. In major industries the metering is based on no pressure correction recording and as such the low pressure registers over-billing. "We have repeatedly drawn SSGC's attention to refunding the amount charged to customers on account of low gas pressure supply. They keep silent on this issue because the 17 percent return on the assets give them all the luxury of enjoying the price and perks of theirs, which do not change or are reduced even if the industry is closed or is subject to heavy losses on account of low gas pressure supply," he said.

Copyright Business Recorder, 2009

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