CNG industry: government urged to direct Ogra, Ministry to play 'neutral' role

All Pakistan CNG Association (APCNGA) has urged the government to direct Oil and Gas Regulatory Authority and Ministry of Petroleum to play a 'neutral' role in the case of CNG industry. Addressing a press conference, here on Thursday, Ghiyas Abdullah Paracha, Central Chairman of APCNGA said Ogra is mandated to act upon the policy guidelines of the government and not to give recommendations discriminatory to any specific category of consumers.
He said APCNGA demands that the aforementioned authorities should not become party to the propaganda against CNG sector. It needs to be highlighted that the sector is neither involved in gas theft, or gas consumption there is significantly higher than other sectors, he added.
Giving the reference of Article 158 of the Constitution of Pakistan, Paracha said distribution of natural gas should be ensured on fair, just and equitable basis. Industrial units and business enterprises, having no options for alternate energy, should be accorded priority for gas supply. Likewise, enterprises and business units contributing higher revenue to the government and providing direct benefits to the public be accorded priority.
For the year ending June 30, 2011, additional gas consumption as compared to the pervious year are 61mmcfd in fertiliser, 46mmcfd in domestic and 41mmcfd in transport or CNG sectors. These figures are reflective of the fact that consumption in some other sectors has exceeded as compared to the sector. As such, it would be unfair to assume that gas consumption has gone up in the sector alone.
He furthered that if the government were deciding to stop CNG-fitted public vehicles, the fares would go up more than double, making it almost unaffordable to general public. He stressed upon the authorities concerned that CNG tariff should not be enhanced in future, as this would be too harsh and discriminatory for the public. The additional tax levied on the sector in the form of CESS should be withdrawn forthwith for which the Parliament should pass a bill.
APCNGA chairman said, "In case of import of LNG, it should be ensured that no category of consumers is subjected to price escalation. In case, due to any reason, the government cannot install mega-plants and terminals at Karachi, the association can play a vital role in installation of mini plants and storage countrywide. It is already chalking out comprehensive and workable plan in this regard" he maintained.
He said that efforts of the government to handle the gas shortfall in the country are praiseworthy. Nevertheless, APCNGA, being conscious of its responsibilities as a representative association of 50 million people, is evolving a workable and comprehensive plan in association with professionals in the natural gas sector to reduce wastage of gas and save consumption through efficient usage. With the participation and co-operation of the government and public, the savings would ensure continuous supply of gas to CNG sector, thus eliminating load-shedding, without creating any burden on the existing system or any segment of consumers. This plan can be launched before the onset of next winter. The association shall bring out the plan by early March 2012, he added.
Paracha said that APCNGA, being conscious of the safety issues, has worked to establish CNG cylinder/kits testing workshop throughout the country and training of manpower has been completed. All CNG vehicles will be obligated to go for such a checking through latest system and vehicles not complying with the programme shall not avail CNG-refuelling facility.