The Senate Standing Committee on Petroleum Monday recommended the government to suspend moratorium on new industrial gas connections and distribute gas as per the Constitution. Senator Mohsin Aziz chaired the meeting of the committee that took up a variety of issues pertaining to gas supply to the provinces. At present, the domestic gas production is 4,170 mmcfd against the demand of 5,495 mmcfd. The committee was informed that volume of domestic gas was reduced as compared to previous years.
The committee was briefed about new industrial and commercial connections from system gas in the gas producing province where surplus gas is available and the status of moratorium placed on provision of industrial and commercial gas connections in 2011.
The official of the Ministry of Petroleum informed the committee that there has been moratorium on new gas connections for industries since 2011. However, they were facilitated with the RLNG gas connections. New gas connections for domestic consumers were restored.
The committee was briefed that Punjab is producing 119 mmcfd of gas and receiving supply of 1,000 mmcfd. Khyber Pakhtunkhwa is producing 411 mmcfd and receiving 296 mmcfd. Sindh is producer of 2320 mmcfd gas against the consumption of 1696 mmcfd. While, Balochistan is producing 467 mmcfd gas against the demand of 292 mmcfd.
During the winter, the demand of gas is from 250 mmcfd to 350 mmcfd in Khyber Pakhtunkhwa. Total of 40 mcfd gas is provided to strategic industry. The chairman committee said under the Constitution, first right of use indigence gas is with the province which is producing gas. Surplus gas might be provided to other provinces, he added. In addition, RLNG gas was imported to meet the gas shortfall.
The committee was informed that it is the duty of the provinces to supply gas to the federal government under the Constitution. The chairman committee recommended the government to provide 100 mmcfd gas to Khyber Pakhtunkhwa, which had early been decided to allocate for new power projects in the province. As the projects are delayed; therefore, the gas should be provided to the province, he added.
The committee discussed the issues of low gas pressure in Industrial Estate Jamrud Road Peshawar and weekly closure of supply of natural gas to the industrial areas in the jurisdiction of Jamshoro Chamber of Commerce and Industry as well as the SSGC's pressure to shift industries on RLNG and increased rates of natural gas by the SSGC.
A representative of Peshawar Chamber of Commerce and Industries alleged the SNGPL for billing natural gas equal to the RLNG rates. He further disclosed that the provincial government of KP had issued no objection certificate (NOC) to SNGPL for laying an independent gas pipeline to provide uninterrupted gas supply to Jamrud Road Industrial State.
The officials of the SNGPL informed the committee that the gas utility is working on up-gradation of gas network. The work on construction of a new transmission gas pipeline of 32km is in final stage. The official further said the consumers were not charged natural gas at the rate of RLNG.
Dr Jahanzeb Jamaldini said that Balochistan was receiving gas through air mix plant for only two hours. The committee was further informed that 2.4 million applications are pending for new gas connections. Last year, the company achieved the target to provide gas connections to 600,000 consumers and current year again same number of connections would be given.
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