LCCI opposes proposed hike in gas tariff
Increase will hurt manufacturing sector, reduce exports
Government vowed to take the private sector on board but departments like Ogra didn’t follow through. PHOTO: REUTERS
LAHORE:
The Lahore Chamber of Commerce and Industry strongly criticised the Oil and Gas Regulatory Authority (Ogra) for approving the huge gas tariff increase of up to 36% and demanded that the government reject the decision.
In a statement, LCCI President Abdul Basit said that the regulator’s decision shows that it is not aware of ground realities.
The LCCI office-bearers said that the massive increase would hurt exports as it would jack up the cost of doing business manifold.
They said that such anti-business measures would hamper the growth of the manufacturing sector. “Increase in gas tariff would create multiple problems for industrialists as they have to bear heavy loss while fulfilling their export commitments,” read the statement.
They said that the government had vowed to take the private sector on board but government departments like Ogra are clearly not following that policy.
The LCCI office-bearers said that the impact of up to 36% increase in gas tariff would be much bigger than the expectation of the government that should avoid any such decision keeping in view the economic scenario in the country.
“Government should avoid accepting Ogra’s decision as this department is not doing any service to the industry but is actually widening the gap between the private sector and the government,” the LCCI office-bearers added.
They said that at a time when most countries are facilitating their private sectors, the situation in Pakistan is the other way round.
Published in The Express Tribune, October 11th, 2016.
The Lahore Chamber of Commerce and Industry strongly criticised the Oil and Gas Regulatory Authority (Ogra) for approving the huge gas tariff increase of up to 36% and demanded that the government reject the decision.
In a statement, LCCI President Abdul Basit said that the regulator’s decision shows that it is not aware of ground realities.
The LCCI office-bearers said that the massive increase would hurt exports as it would jack up the cost of doing business manifold.
They said that such anti-business measures would hamper the growth of the manufacturing sector. “Increase in gas tariff would create multiple problems for industrialists as they have to bear heavy loss while fulfilling their export commitments,” read the statement.
They said that the government had vowed to take the private sector on board but government departments like Ogra are clearly not following that policy.
The LCCI office-bearers said that the impact of up to 36% increase in gas tariff would be much bigger than the expectation of the government that should avoid any such decision keeping in view the economic scenario in the country.
“Government should avoid accepting Ogra’s decision as this department is not doing any service to the industry but is actually widening the gap between the private sector and the government,” the LCCI office-bearers added.
They said that at a time when most countries are facilitating their private sectors, the situation in Pakistan is the other way round.
Published in The Express Tribune, October 11th, 2016.