FPCCI chief says gas suspension will adversely affect industrial activity

KARACHI: Industrial community has said gas suspension for 72 hours to the industries in Karachi would affect production activities, revenue losses to the industries and national exchequer beside hitting local supply of goods and exports adversely.

President FPCCI Mian Nasser Hyatt Maggo expressed his profound concerns over yet another gas supply suspension for 72 hours for the industrial areas of Sindh and Balochistan. It will bring many export-oriented industrial units to a halt and ensuing losses, he added.

FPCCI Chief pointed out that after every few months the industrial sector has to endure the prolonged gas supply suspensions; despite repeated promises and assurances given to the business, industrial and trade community of Pakistan from the platform of FPCCI.

Mian Nasser Hyatt Maggo maintained that governments all over the world protect the industries from unplanned gas and fuel outages; and, also help them ward off the adverse effects, if the suspensions occur.

He forewarned the government authorities that during winters there could be an unprecedented gas shortage and the country's exports can be gravely impacted; and, the government should sit down with the business community at the earliest to chalk out a plan to protect the export-oriented industries from inevitable gas shortages.

Mian Nasser Hyatt Maggo, as President FPCCI, has reiterated his full support to facilitate consultative process between government authorities and the business community before the winter starts.

FPCCI wants to support the government's vision to enhance Pakistan's exports in a fast-paced; yet, sustainable manner, he added.

Chairman Businessmen Group (BMG) & Former President Karachi Chamber of Commerce & Industry (KCCI) Zubair Motiwala, while strongly criticising SSGC for shutting down gas to industries for 72 hours, demanded immediate restoration of gas supplies to industries as it would terribly affect production activities and the industries will not be able to fulfil their commitments.

He stressed that SSGC, instead of resorting to gas suspension, must adopt load management and rationalisation policy while suspended gas supplies to industries has to be immediately restored.

He was of the opinion that any delay in arrival of imported RLNG should not affect the industries in Karachi as they were being provided natural gas from indigenous resources in Sindh and Balochistan. "It was highly unfair that gas being produced in Sindh was not being provided to industries in Karachi and suspending gas to industries stays at the top of SSGC's policy which is beyond our understanding," he added.

Industrialists said that the gas crisis in Karachi has become a very serious issue that needs to be probed because at a time when the industrial activities were gradually returning to normalcy, some elements in the system abruptly intervened and created gas shortage, which is going to result in a closure of several factories.

Earlier a similar kind of situation was created when SSGC disconnected supply to 225 industries in Karachi in the name of replacing it with the power supply.

They feared that if the gas crisis persisted, it would become difficult for the industries to ensure smooth supply of goods for the local markets, as well as for the export industries and the shortages would trigger inflation.

The hardships being faced by the business community of Karachi due to gas suspension needs to be given special attention and prompt resolution, otherwise the situation would have a serious impact on the industrial performance and the economy, besides triggering massive unemployment and poverty, they said.

Copyright Business Recorder, 2021