Gas: for whom and at whose expense?

Finance Minister Ishaq Dar seems to be the ‘go-to’ man for the Prime Minister, as Dar, fresh from a successful stint with the IMF has now been handed another responsibility. The government has formed yet another ministerial committee to look into matters of gas allocation to textile units, especially in Punjab during the winters.
Why the need for Dar to head such a committee in presence of full-time energy team lacks rationale, but then Dar has been the preferred choice when such disputes emerge. Earlier last week, the government had hinted at supplying uninterrupted gas and electricity to textile units in Punjab, which was well received by the industry. But very shortly, this committee was formed, suggesting they are having afterthoughts.
In the past five years, domestic gas consumption has overtaken industrial gas consumption. The growth of domestic consumption is not an ideal situation, but if the political nature of the growth is considered, it should not have come at the cost of industrial consumption. The transport sector consumption, during the same period, has more than doubled – and the industrial sector’s reduced consumption has unfortunately come at the cost of CNG.
There is no denying that textile sector has suffered heavily during the winters owing to gas shortage, as alternative fuels make the sector hugely uncompetitive, especially those in Punjab. There is also the case of inter-provincial disharmony as textile units in Sindh continue to receive uninterrupted gas supply. Nothing much can be done in that regard, being a constitutional binding, but the country’s largest dollar earning sector deserved to be served better.
The textile bodies have previously suggested being prioritised over the power and fertiliser sectors. This was never a viable solution, as gas for fertiliser and power has more economic benefit than gas for textile. But what stops the government from diverting gas from the CNG sector to textile units and halt the mushroom growth of domestic consumption?
It is an open secret that domestic and transport sectors are two of the most inefficient sectors in terms of economic value. Much has been said about promoting alternate solutions for domestic usage, but those advices have fallen on deaf ears. CNG on the other hand, does undergo load management, but the pie is so large, that it still hampers other more productive sectors.
Choosing among power, domestic, textile and CNG sectors, the government again faces a catch-22 situation. If it reduces supply to domestic users, it will have political repercussions especially when the environment is all charged up. If textile is on the receiving end, it affects the government’s vote-bank in textile heavy cities. If the axe falls on CNG, media and the CNG lobby would not sit easy.
It would be unfortunate if eventually it is the power sector that ends up facing the axe, as often has been the case. The government tends to relax in winters as electricity demand falls, and it can at least politically afford to carry long loadshedding hours when the temperatures are down. Hopefully, Dar and his committee members can come with an amicable solution. The ongoing episode also reminds one of the needs for a centralised energy ministry.