Despite a country is undergoing worst crisis due to gas load shedding, Ministry of Petroleum on Thursday again succumbed to the demands of the influential fertiliser lobby and decided to continue gas supply to the sector until December 15.
Economic Coordination Committee (ECC) had approved a gas load management plan in November to provide gas to the fertiliser sector on a rotational basis keeping in view the projected shortfall of 529 million cubic feet per day.
However, the gas load management plan approved by the ECC for the month of November was not implemented after Prime Minister Yusuf Raza Gilani had directed Ministry of Petroleum on November 15 to restore gas supply to the fertiliser sector.
Ministry of Petroleum again tabled a summary to ECC on Thursday on a revised gas load management plan at a time when government was facing strong criticism from people in different parts of Punjab.
At present, fertiliser sector is being provided gas by 181 mmcfd that was to be reduced to 90 mmcfd on Thursday but Ministry of Petroleum decided to continue existing gas supply to the fertiliser sector allegedly due to pressure from some quarters.
Petroleum Minister Dr Asim Hussain had confirmed on Wednesday that gas supply to fertiliser would be reduced by 50 per cent from December 1 to run plants on rotational basis. Hussain had also said that the gas would be diverted to domestic consumers.
When contacted Petroleum Secretary Ijaz Chaudhry confirmed that existing gas supply to the fertiliser sector would be continued till December 15. He also confirmed that ECC had not taken up the proposed gas load management plan. Chaudhry added that gas supply to four power plants would be cut but it would not matter because there was no power shortfall at present. He did say that when canals are shut down on December 15, the power situation may change.
Managing Director (MD) Sui Northern Gas Pipeline Limited (SNGPL) Arif Hameed also confirmed that existing gas supply to fertiliser sector would continue till December 15. “We will implement a plan of providing gas supply to fertiliser sector on a rotational basis from December 15.”
He maintained that industry and CNG stations would face gas suspension for three days a week due to gas shortfall in ongoing month of December. He also ruled out any pressure from the prime minister to continue gas supply to fertiliser sector at which will hit domestic consumers.
Published in The Express Tribune, December 2nd, 2011.
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Does basic economics not make any sense to these fools? If pakistan doesn't have the resources (enough gas) to produce fertilizer, then why not import it from countries (Canada, our best buddy in all things religious and political; Saudi Arabia)??? To that question, the standard answer is that local urea is cheaper for the farmer etc etc. Tell me do u think the savings to the farmer are greater than the economic, social, and political cost to pakistan of not having gas for the common man to cook his food, for households, for industry, for transportation, for electricity???? Add to that the Rs 37 billion ($420 million) subsidy the GoP will give to the fertilizer sector from its very healthy and balanced budget.
Political decisions are made and not well articulated decisions. How can a country run like this. We are heading for economic ruination