In a startling development, Sui Northern Gas Pipelines Limited (SNGPL) has said on Monday, that it uncovered a significant case of gas theft at a mobile phone tower site operated by Pakistan’s largest mobile phone operator, Jazz, located in Karak, Khyber-Pakhtunkhwa (K-P) province. SNGPL has recently launched an aggressive anti-gas theft campaign and has been actively seeking out areas where gas theft is occurring, resulting in the disconnection of many illegal connections and the recovery of millions of rupees. However, this case is unprecedented, marking the first instance of a major mobile tower site being involved in gas theft.
As per SNGPL, their teams raided the mobile phone tower site in Karak and discovered a generator running on an illegal gas connection, with gas being stolen from an eight-inch main gas pipeline through a 200-foot-long pipeline. The regional team promptly disconnected the illegal connection and took custody of the generator and other equipment. A First Information Report (FIR) has also been registered against Jazz at the local police station.
Jazz, in response to these allegations, has vehemently denied any involvement in gas theft. A spokesperson for Jazz stated that the company complies fully with all applicable laws and operates its network using legitimate electricity or fuel arrangements across the country. The spokesperson clarified that Jazz has established agreements with third-party vendors for generator fuelling at its sites as a backup power solution and does not use natural gas at any of its sites in Pakistan.
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Furthermore, Jazz has initiated an internal investigation to gather more details about the specific site in question and will take appropriate action based on the investigation’s findings. The company warned against baseless allegations that could harm the reputation of a multinational company that has invested over $10.5 billion in Pakistan, said the spokesperson.
The discovery of gas theft at a mobile tower site underscores the serious issue of gas theft in Pakistan. Many areas in K-P are known for rampant gas and electricity theft, often posing security challenges for regional teams. However, the current drive has been backed by the country’s top authorities this time and, as a result, the team discovered gas theft at the said mobile tower site. SNGPL said its anti-theft drive aims to uncover more such cases in the future.
SNGPL’s Managing Director, Amer Tufail, also recently addressed the pressing issue of gas theft during a press conference. Tufail highlighted the decreasing local share of gas in the total energy system, with imports now constituting 50% of the gas supply. He emphasised the urgency of transforming energy consumption habits.
The MD also reported that SNGPL has filed 803 FIRs against gas theft over the past three years. During this period, 325,000 gas theft cases were identified, leading to the recovery of Rs2.4 billion from those involved in these illicit activities. SNGPL has also made remarkable progress in reducing Unaccounted-for Gas (UFG) in the past four years.
Tufail announced that the federal government set a UFG reduction target of 18 billion cubic feet (BCF) over three years, from FY 2019-20 to FY 2021-22. Surpassing expectations, SNGPL achieved a reduction of 23 BCF, resulting in savings of approximately Rs12.5 billion for the national exchequer.
Efforts to address law and order challenges in oil and gas-producing areas, particularly in Karak and adjacent regions in KPK, have resulted in a significant 66% reduction in gas loss. Technology, specifically real-time monitoring through Supervisory Control and Data Acquisition (SCADA), has played a vital role in detecting theft and under-billing by industrial consumers. SNGPL has proactively addressed leakages across 87,000 kilometres of its network over the last three years.
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