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Sui Northern Gas Pipeline Limited (SNGPL) has proposed a ban on new gas connections under parliamentarians'' development schemes as a step to minimise gas load shedding in Punjab, Business Recorder has learnt. Government had imposed a ban on new gas connections for CNG stations in 2008 with the objective of meeting domestic demand.
"Due to new gas connections in new areas under parliamentarian schemes, 1.4 to 1.5 million gas connections will be added into the system causing additional requirement of 500 mmcfd gas in the next two years," sources said. SNGPL is facing gas shortfall of around 450 mmcfd. Gas demand stands at 2200 mmcfd against supply of 1750 mmcfd to 1800 mmcfd.
Gas production from different major fields - Zamzma, Qadirpur, Sui and Sawan has declined by 170 mmcfd in the past two years. As many as 150 mmcfd gas shortfall is being faced due to load of new gas connections for the last two years. Another reason for a gas shortfall in Punjab is attributed to the implementation of Article 158 of the Constitution by the high courts of Sindh and Khyber Pakhtunkhwa (KP) which stipulates that "the province in which a well-head of natural gas is situated will have precedence over other parts of Pakistan in meeting the requirements from the well-head subject to the commitments and obligations as on the commencing day."
"Earlier, government was diverting 100 mmcfd gas to Punjab province from KP but subsequent to the court decision, KP province began using the 100 mmcfd gas causing a shortfall in Punjab," sources said adding that SNGPL is also unable to get 40 to 50 mmcfd gas from SSGCL under load management plan due to court decision.
"The gas load shedding in Punjab province may be avoided after imports of LNG as well as gas imports from Iran and Turkmenistan," sources said adding the other option is to improve law and order situation to exploit indigenous gas reserves to meet domestic requirements. Punjab industry has also challenged implementation of Article 158 in the Supreme Court which will start hearing on April 11. All Pakistan CNG Association has also decided to become a party in the case so that CNG industry may be exempted from gas load shedding.

Copyright Business Recorder, 2011

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