The Special Economic Zones (SEZs) being established in the provinces are facing challenges of gas allocation, lack of infrastructure facilities and power supply, and non-existence of telecommunication and DSL services. Sources said that approved seven SEZs included Quaid-e-Azam Apparel Park, Sheikhupura; M-3 Industrial City, Faisalabad; Value Addition City, Faisalabad; Khairpur SEZ; Bin Qasim SEZ; Korangi Creek; and Hattar SEZ.
They added that SZE Value Addition City Faisalabad is facing problems in getting gas connection while M-3 Industrial City Faisalabad is unable to ensure required electricity as only 40 MW were approved for the SEZ against total requirement of 485MW. Additionally gas connections are not being given to industrial units.
A request by the Punjab Industrial Estates Development and Management Company (PIEDMC) for supply of gas to Quaid-e-Azam Apparel Park (QAAP), Sheikhupura, is still to be considered. The request is pending with different government departments/agencies for allocation of gas.
The decision to supply electricity to various units in Korangi Creek Industrial Park is yet to be taken while Pakistan Telecommunication Company Limited (PTCL) network is under process.
The gas requirement for Khairpur Special Economic Zone (KSEZ) of 3.5 MMCFD was denied by Sui Southern Gas Company (SSGC) after carrying out a survey for possibility of connection on a report of KSEZ submitted to Sui Southern Gas Planning Department Hyderabad. Subsequently, in continuation of correspondence a meeting was held under DG (Petroleum), Ministry of Natural Resources, on November 1, 2016.
The DG (Gas) directed the SSGC authorities to work out on possibility of 3.5 MMCFD gas to KSEZ but unfortunately, no response has been received yet. Additional problems included; (i) non-existence of PTCL network and DSL service; (ii) conversion of KSEZ land into industrial land; (iii) establishment of autonomous body as of Punjab and provision of One Window operations.
The meeting was informed that gas connection for Bin Qasim Industrial Park is facing problem because gas network is yet to be laid down. Power supply to Hattar Special Economic Zone, Phase VII, is also an issue as power supply to SEZ would be provided through following sources; (i) 50 MW through solar power; (ii) 70 MW through hydro power (wheeling); (iii) and 345 MW through combined cycle power plant.
In addition to above, Khyber Pakhtunkhwa Economic Zones Development and Management Company (KPEZDMC) would source electricity from PESCO. The issue of transfer of land to PESCO for proposed grid station is still unresolved while SNGPL will conduct survey (to asses if it is feasible or not feasible) for 40 MMCFD of gas allotted for Hattar SEZ.
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