KARACHI: The Towel Manufacturers Association (TMA) has voiced serious concerns about the government's decision to cut gas supply to Captive Power Plants (CPPs), a move driven by IMF directives. TMA Chairman, Athar Bari, along with key exporters, warned that this could severely impact the export sector.

Bari emphasized that this decision comes at a critical time when the economy is struggling and needs support to boost growth, particularly in export-oriented sectors. He highlighted that the business community has been instrumental in helping the government meet revenue targets despite numerous challenges.

He said that gas disconnection could be a significant blow to exports, increasing production costs and making Pakistani goods less competitive internationally which is already at higher cost compared to other regions.

Bari also pointed out past policy errors, such as the unregulated issuance of permits for CNG stations, which have contributed to the current gas shortage. He cautioned that disrupting CPPs now could lead to similar issues, overburdening the national grid and causing load shedding.

In conclusion, Bari urged the government to reconsider this decision and work with the private sector to enhance the efficiency of captive power generation, rather than dismantling a vital power source for exporters.

Copyright Business Recorder, 2024