It is a pesky situation indeed that Bin Qasim Industrial Zone (BQIZ), largest industrial area of Sindh province, spread over 25,000 acres of land, offering enormous potential for local and foreign investment is being chastised to the extent that there is lack of utility service providers infrastructure, insufficient availability of electricity, gas, water, sewerage and telecommunication facilities.
The multi-dimensional gains which could accrue to the prospective investors were highlighted at an interactive session organised by Bin Qasim Association of Trade and Industry (BQATI) to deliberate on how to promote industrial investment in BQIZ and more particularly in the Industrial Zones of Port Qasim. The session deliberated on the role of Port Qasim Authority (PQA) in the promotion of industrialisation, available strength of this area, weaknesses, problems and opportunities.
Mian Mohammad Ahmad, Petron-in-Chief, BQATI identified the negative and positive issues which retarded the progress and need to be resolved. Rasheed Janmohammed, immediate past Vice President of BQATI submitted a comprehensive presentation before the house and briefed that the BQIZ has a great potential having abundance availability of land spread over 25,000 acres a dedicated industrial zone annexed to Port Qasim, first industrial port of Pakistan which caters 40 percent of the cargo movement having dedicated terminals for containers, grains, edible oils, chemicals, petroleum, coal and iron ore, with easy access to national highway and super highway, Karachi airport, and comparatively improved law and order.
It was pointed out that the existing demand for electricity, already submitted with K-Electric is 40MW but due to non availability of K-Electric infrastructure, industries are incurring heavy cost. BQATI was compelled to lay 4 to 6km cables from grid station to industries and in some cases it goes up to 8 to10km. Further it was highlighted that BQIZ has great potential to grow and expand rapidly. Its annual requirement for expansion is between 50 to 75MW where as there are only two grids stations to facilitate industries situated in the zone, both grids are 35 percent over loaded to its capacity, and no more load available on these grids.
It was also stated that new connection cost is Rs 30,000-40,000 per KW and connection lying and process time is more than two years. Now for every new connection an extra Rs 7500.00/KW is charged as an structure and development fund. It was stressed that since K-Electricity charges are already very high, PQA should review their policy of charging extra 16 percent over and above the K-Electric in the operation zone.
The session was briefed that since industries are expanding their operations and new industries are being set up, there is a need to review SSGC policy with regard to new connections and internal pipe line movement. There is need of SSGC's special consideration for the processing units as the one day forced shut down is equivalent to three days closure of continuous plants. Keeping in view industrial investment in the area, forecast for foreseeable future is around 50 to 100 MMCFD for which SSGC help is required.
It was also deliberated that due to non-availability of appropriate infrastructure, getting PTCL connection is long awaited process and industries are incurring heavy losses. It was pointed out that in some areas water and sewerage infrastructure was not available and members are paying heavily on bringing water to their industries. Also included are some areas of North West Industrial Zone (NWIZ), most of the areas in Eastern Zone and sewerage infrastructure in Operation Zone.
The session was informed that industries situated in port's industrial zone are paying higher water charges, ie Rs 275 per 1000 gallon. Apart from high water charges, PQA is charging 50 percent conservancy charge, which is being taken in lieu of providing sewerage facility whereas there is no sewerage available particularly in the operational zone. Further to that it was stated that this conservancy charge is also attributed to fire fighting facility which is not only very much limited but, as a matter of fact, should be part of PQA's function.
Participants were briefed that due to non-serious attitude of concerned authorities road and railway infrastructure, national highway and newly built Mehran highway is deteriorating fast and further national highway and Mehran highway are being encroached by land grabbers, and illegal cuts and parking on both side of highways has been established.
National Highway is in a very rundown condition and need to be constructed on motorway pattern from airport to Ghaggar Phatak to give easy passage to industrialist and employees. In this respect, there are concerns of stakeholders but they are prepared to help and co-ordinate with relevant authorities. Members highlighted that due to insufficient deployment of law enforcement agencies in Port Qasim area, snatching and robberies on National Highway, Mehran highway and particularly in Port Qasim industrial area is common and law and order situation on National Highway is very vulnerable which discourages the investors.
BQATI suggested the authorities to maintain law and order on National Highway and newly constructed Mehran highway, bring/adopt motorway police model as the existing traffic system is perhaps not bearing fruits. It was also stressed that it is imperative to maintain traffic flow and remove encroachments on National Highway. It was also suggested to instruct police stations concerned to ensure effective patrolling during sensitive hours.
"While it is indeed unfortunate that the cheapest mode of transport, ie railway is completely ignored in our country, we request PQA to take up the matter with authorities concerned to start railway service from city to PQ and vice versa as the railway line is available within the port area. Similarly, goods / liquid products and railway vehicles may also be encouraged to avoid the dependency on road transport / tankers.
Since PQA is in a very comfortable position, it was suggested to encourage ferry service from Marina Club DHA to PQ Jetties. This will indeed go a long way in reducing road traffic and allow hassle free commuting between the city to PQ. BQATI assured to bring the passengers if PQA can take the initiative. Chairman, Port Qasim, Agha Jan Akhtar was very proactive and offered himself to be the focal point on behalf of PQA to facilitate resolving the issues of K-Electric, SSGC, KWSB, PTCL and law and order. He also offered utmost co-operation of PQA in bringing investment in the port industrial zone.
Iqbal Mehmood, IG Sindh Police, spoke candidly and acknowledged that Bin Qasim area needs more concentration from law and order point of view as there is huge potential for industrial investment. He offered his co-operation and assured that senior police officers team will have regular deliberation with BQATI and resolve all issues highlighted relating to law and order. He also offered his co-operation in convincing relevant authorities to improve traffic and remove encroachments on national and Mehran highways.
Commissioner Karachi, Shoaib Ahmed Siddiqui also proactively participated and assured his co-operation in taking up the matter with relevant authorities particularly to remove the hurdles at national and Mehran highways as the same are the main arteries connected with Bin Qasim area.
The delegation of K-Electric, SSGC, PTCL and other relevant service providers also agreed to be part of regular deliberations with PQA and BQATI so as to provide a feasible platform for future Investment. BQATI President, Amin Ali Dawood, Senior Vice President Shakil Ashfaq, Vice President Salim Dada, Members Managing Committee Parvez Ghias, Mehmood Baqi Moulvi, Shahid Hussain Butt, Adnan Zafar, Naveed Shakoor and Mohammed Rasheed thanked the guests and presented BQATI Momentous.
The session was very well-attended by Chairman, Port Qasim Authority, Agha Jan Akhter, Commissioner Karachi, Shoaib Ahmed Siddiqi, I.G Sindh Police, Iqbal Mahmood, DIGP East Karachi, Munir Ahmed Shaikh, DIGP South Karachi, Abdul Khalique Shaikh, sector commander Bhittai Rangers, Colonel Jawaid Baloch, Zakari Usman, President, FPCCI, Abdullah Zaki, President, KCCI, Mohammed Bashir Janmohammed, Chairman Westbury, Cyrus R Cowasjee, PQA board members and leading industrialists.
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