KARACHI: Closure of gas for three months to non zero-rated industries in Sindh will hamper exports and create shortage of industrial raw materials, said President Site Association of Industry (SAI) Saleem Parekh on Friday.
He urged the federal government to provide gas to Sindh in accordance with the provisions of the constitution.
Quoting article 158 of the Constitution of Pakistan titled ‘Priority of requirements of natural gas’, he said that it was clearly stated that gas producing province shall have precedence over other parts of the country. “Unfortunately Sindh, which produces 73 per cent of the total gas, consumes only 29pc of it.
Currently, gas production in Sindh stands at 2,900 mmcfd while only 1,200 mmcfd is being provided to the province,” the SAI president said.
“The government has announced incentives for five zero-rated sectors to boost exports. Non zero-rated industries are essential part of the export value chain. Closure of these import substitute industries would increase cost of production for exporting units and also create mass employment,” he added.
He alleged that the Sui Southern Gas Company Ltd (SSGCL) was deliberately creating hurdles in the smooth functioning of industries by not supplying gas to captive power units for three months on the grounds of less than 1pc drop in gas supply. “The SSSGL should instead plead the case of its due share from the gas produced in Sindh as per constitution to meet the minor shortfall mentioned in its petition,” he said.
Published in Dawn, November 17th, 2018
