Charges on gas generators levied

Published April 3, 2008

KARACHI, April 2 Consumers using gas-based power generating units havebeen asked to deposit a minimum of Rs1,200 for a one kva unit forregularising their gas load.

The amount varies, and increases with the size of the generator.

It would save them form being penalised by the Sui Southern Gas Company.

The SSGC discourages use of diesel- and petrol-based generators on gaswithout regularisation of extra load and has also been imposingpenalties on consumers.

Frequent power breakdowns have forced many people to purchasepower-generating units. These generators either use petrol or diesel orgas.

However, after an increase in petrol and diesel rates, people have increasingly started using gas-based generators.

A spokesman for the SSGC said that the company had initiated anawareness drive, asking consumers to regularise their gas-load, if theyare using gas for power generation.

He said without sanctioning the proper gas-load, use of gas-based powergenerating machines is illegal, and consumers have off and on beenwarned of a legal action for failing to regularise their gas-load.

Even many consumers were sent notices, he said, but did not givedetails about the number of consumers who were sent such notices.

“The SSGC knows about the people running generators on gas as thecompany's vigilance department has such details,” the spokesman added.

Another SSGC official said that the company charges only Rs 1,000 per kva as security deposit and Rs250 for meter and regulator.

He said that with heavy use of gas, many consumers were seen complaining about low gas pressure in their areas.

A consumer, who asked not to be named, said there was no other optionwith the consumers suffering from load-shedding, but to use gas owingto increasing petrol and diesel prices.

On the contrary, rush of buyers at the generators market subsidedduring the last three days owing to some decrease in the timing ofload-shedding.

Earlier, there used to be breakdowns of six to eight hours daily till last week, said a consumer.

“Generators sale depends heavily on load-shedding hours,” said Karachi Generator Importers Group president Sikandar Shahzada.

He said currently there had been only a 25 per cent business after some improvement in power supply situation.

He said a majority of the buyers purchase gas-kits at Rs1,000 to 1,500for running their machines on natural gas to offset the impact ofrising diesel and petrol prices.

Sikandar said prices of generators have increased by 10 per cent ascompared to last year's prices owing to hike in the Chinese market by15-22 per cent and in Japan by 12-15 per cent.

Besides, the Customs have increased the valuation rate by $10-15 per KVA on generators.

According to the Federal Bureau of Statistics, generator imports surgedby 35 per cent to $640 million in July-February 2007-2008 from $475million in the corresponding period of last fiscal year.

If power supply remains normal between May and July, generator salesmay not pick up. But the situation may change, if load-sheddingintensifies in the coming months, he said.

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