Gas supplies to CPPs of Sindh, Balochistan to be discontinued

28 Nov, 2021

KARACHI: In adherence to Ministry of Energy (Petroleum Division), Government of Pakistan’s priority order for gas load management, where domestic sector tops the list and to serve the domestic customers with even more care and consideration, especially those in Balochistan already experiencing the winter season, gas supplies to all captive power plants of general industries (non-export) across Sindh and Balochistan had to be discontinued.

The discontinuation of gas supplies to all these Captive Power Plants (CPPs) was exercised under the Gas Sales Agreement (GSA) signed with CPPs, as the very agreement clearly states that; “Gas supply will be provided by the Company on ‘as and when available’ basis only during the period March to November each year.

The Consumer will make dual firing arrangements to avoid loss of production as and when Gas is not available during March to November and also during December to February when the Company will keep the Consumer’s Gas supply disconnected at his cost, each year.”

Gas supply to all these CPPs shall remain discontinued till further orders; however zero rated export industry including its CPPs along with the fertilizer sector will continue to get the gas.

The volume of gas curtailed from this arrangement would be diverted to domestic customers for them to cater their enhanced gas loads in context of the winter season.

It may be noted that in Balochistan, supply of additional gas is a must for the survival of human lives since gas serves as a LIFELINE to scores of populace needing to keep themselves warm through water and space heating gas appliances in the extremely low temperatures.

SSGC looks forward to CPPs of General Industries (Non export) for their understanding on the matter and expects their cooperation for serving the domestic customers through uninterrupted gas supplies.

Copyright Business Recorder, 2021

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