The Compressed National Gas (CNG) body while taking a bold initiative has requested the government to allow them import of 400 Million Cubic Feet per Day (MMCFD) of Liquefied Natural Gas (LNG) to counter the impact of gas shortage, it is learnt.
In a letter written to Petroleum Minister Shahid Khaqan Abbasi, the representatives of All Pakistan CNG Association (APCNGA) has stated that in a bid to save their investment worth Rs 450 billion, protecting some 500,000 jobs associated with the CNG business and rid commuters of high transportation fares, the CNG body is ready to import 400 Mmcfd of LNG.
The APCNGA has suggested that to do away with allocation of natural gas completely import 400 mmcfd Liquefied Natural Gas (LNG) to operate 3,600 outlets is essential for survival of industry, which is operating below capacity due to 4 days weekly gas loadshedding.
The APCNGA expressed its willingness to give up use of local gas, if the government supports CNG industry to pick up 400MMCFD, LNG per day being imported by government or arrange it on its own to run CNG stations.
The majority of the CNG filling stations have been dried due to unprecedented loadshedding as the gas distribution companies could not provide for the requirement of the CNG sector, which stands at 400mmcfd, the letter added.
APCNGA said, "We are willing to receive LNG through the government or arrange it on our own to continue serving the needs of the transport, preserve employment of the CNG sector workers, protect Rs 450 billion investments in the CNG business along with the CNG users.
All the noble intentions like providing cheap fuel to the common man, saving valuable foreign exchange and preservation of the environment can be achieved by this initiative, it added.
It said that acceptance of the proposal would reduce the ratio of Unaccounted for Gas (UFG) in the CNG sector to zero.
It has also asked the government to waive off the transport charges as gas companies were already getting return on their investment against the gas lines and allied equipment installed for transportation of gas.
Input costs and taxes should be so adjusted that parity in terms of energy may be maintained at maximum of 65 percent so that the consumer can get relief of 35 percent against petrol usage.
It will not translate into loss of revenue since LNG will be additional gas and the revenue from the local gas will remain intact through other natural gas-consuming sectors.
CNG body has also proposed that the ban on kits and cylinders must be lifted so that the existing consumers can replace their aging equipment and use of substandard machinery can be curtailed.
All the public transport vehicles should be converted to CNG so that the poor commuters can also benefit from the economical fuel while reducing pollution would be an additional advantage.
When contacted Ghiyas Abdullah Paracha, Chairman Supreme Council APCNGA, confirmed writing a letter to the ministry and added that the government seems serious in resolving energy crisis and APCNGA will extend all possible support in this regard.
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