Gas utilities to invest Rs71 billion

Network upgrade a necessity to address consumer complaints

APP November 05, 2016
Network upgrade a necessity to address consumer complaints. PHOTO: REUTERS

ISLAMABAD: Sui Northern Gas Pipelines Limited (SNGPL) and Sui Southern Gas Company (SSGC) are improving their transmission networks to maintain gas pressure, especially for tail-enders in the winter season.

“Gas companies will spend around Rs71 billion on upgrading their transmission networks to meet future needs of the country and address consumer complaints regarding low gas pressure,” an official told APP.

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According to officials, the reinforcement of the transmission system is a necessity, keeping in view the injection of additional volume of re-gasified liquefied natural gas into the transmission system, ongoing liquefied petroleum gas air-mix projects, planned Iran-Pakistan and Turkmenistan-Afghanistan-Pakistan-India gas pipeline projects. The gas companies have planned to invest Rs13.896 billion in transmission projects, Rs32.739 billion in distribution projects and Rs24.408 billion in other schemes, making a total investment of Rs71.043 billion during the current fiscal year.

Discussing last year’s performance of the two companies, the officials said SNGPL and SSGC built 116km gas transmission, 1,848km distribution and 679km service pipelines as well as connected 203 villages and towns to the gas supply network. During the period, the utility companies invested Rs9.959 billion in transmission projects, Rs8.705 billion in distribution projects and Rs13.705 billion in other projects with total investment at Rs31.919 billion.

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Besides, the companies gave 254,648 domestic, 202 commercial and 20 industrial connections. About 48% of the energy mix in the country comprises natural gas and the country has an extensive gas network that serves more than 7.9 million consumers.

Published in The Express Tribune, November 6th, 2016.

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