LAHORE, Jan 8: The Sui Northern Gas Pipelines Limited on Wednesday snapped gas supply to fertiliser, power and cement units and sounded a warning to the general industry that it could face a similar eventuality if the cold wave persisted for a few more days.
According to sources in the SNGPL, the gas supply situation in the northern regions is worsening and the company is left with no other option but to start cutting supplies to upstream industry.
By stopping supply to the three industries, the company has brought down gas demand to 1,100 million cubic feet. There is only 1,050 million cubic feet gas available to the company and at present the company faces a deficit of 50 million cubic feet only. Had the supply to industry not been curtailed, the demand could have gone up to 1,400 million cubic feet, leaving a difference of 300 million cubic feet.
Though the general industry has only been cautioned, it may face a shut-off within a few hours of short notice.
About the effects of reduced or no gas supply to the industry, an official of the SNGPL said that it was a painful, but expected, decision.
The company has to take this kind of a decision every year with demand skyrocketing every winter. This time, it is an unusual cold spell and has only added to the woes of the company and the industry. But the industry can arrange alternative fuel (furnace oil) for running most of its units. It naturally hikes their cost but the company has no option.
Meanwhile, Lahore continued to face shortage in gas supplies in some areas. Though the situation improved in posh localities, some pockets on Walton Road, Gulshan-i-Ravi, Samanabad, and Township continued to suffer gas shortages.
According to the officials of the Sui Northern Gas Pipelines Limited, the gas consumption in the city has increased from 280mmcfd to 400mmcfd during the last one week. The gas demand increased by 50 million cubic feet during the last days only.
Though stopping supply to industry has improved supply to the city, it still suffers a deficit of 30 million cubic feet. Lahore consumes almost 38 per cent of total consumption of the SNGPL.
Had the government allowed the company to curtail supplies to industry earlier, supply problems could not have worsened during the last few days.
In addition to demand and supply gap, the company, during the winter, also suffers from what it calls condensating phenomenon.
Gas, during winter, converts itself into liquid and the company staff has to drain it out after a certain time span and distance. It only adds to the supply problems and burden of the company, the SNGP official said. The city has over 600,000 consumers out of 2.2 million of the company.
