‘SSGC committed to resolving contentions with KE’

KE owes Rs122b, more gas being provided than allocated amount, says SSGC

Our Correspondent December 29, 2020

The Sui Southern Gas Company is committed to ironing out points of contention with K-Electric, maintained the SSGC in a statement issued on Monday.

Responding to KE's letter, sent last week, the SSGC claimed that the only gas seal agreement (GSA) signed between SSGC and KE was for 10MMCFD.

Despite less gas being injected into SSGC's system from the gas fields, regardless of the season, the SSGC has always provided more gas to the power utility company than the GSA allocated amount so as to prevent power outages in Karachi, maintained the SSGC in its statement.

The SSGC claimed that it is currently providing 70 to 100MMCFD gas to KE, and in the summer of 2020, the gas company provided over 270MMCFD of gas as KE failed to arrange alternate fuel source for power generation.

The SSGC further levelled that the main reason of delays in signing the GSA was the KE's reluctance to abide by the CCOE decision of April 2018.

It further noted that KE owes Rs122 billion to the gas company, a figure on which KE does not agree.

Published in The Express Tribune, December 29th, 2020.


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