The cash-strapped Pakistan State Oil (PSO) has expressed serious concern over unavailability of railway engines, which has adversely affected movement of petroleum products to railway fed areas of power sector customers, Business Recorder has learnt reliably.
Sources said that total product movement by railways was 40,000 metric tons in June 2010 against 71000 metric tons in corresponding month of June 2009 with a shortfall of 31000 metric tons. The petroleum products movement by railways declined by 15000 metric tons in May 2010 which was 51000 metric tons against 66000 metric tons in May 2009. In correspondence to Ministries of Railways, Water and Power and Petroleum, PSO management has highlighted poor performance of Pakistan Railways, which has affected product movement.
"Please note that in order for smooth and uninterrupted movement of furnace oil to railway fed areas of power sector customers, regular and consistent availability of tank wagons and locomotives is important," PSO management said adding that unavailability of railways engines has seriously affected product movement. PSO is making all possible efforts to supply the product despite lack of infrastructure support from Pakistan Railways and product availability constraints from local refineries as well as arranging imports.
"We are not only deprived of payment but necessary support of infrastructure, ie Railways is not present to enable movement of petroleum products," PSO said. PSO has been the most affected party in this situation as it not only has to arrange to meet the deficit in supply by imports, but PSO has been instructed to supply product to major IPPs at the rate of 25,000 MT per day irrespective of non-payment and unavailability of railways engines. "In the larger interest of the country, railway authorities and refineries especially Parco should provide full support to cater deficit dispatches to various locations as this is a matter of grave concern and top priority," PSO said.