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Home Chambers & Associations

FCCI shows concerns over non-supply of gas to industrial unit

byCT Report
14/11/2016
in Chambers & Associations, Latest News, Pakistan Chambers
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FAISALABAD: Faisalabad Chamber of Commerce and Industry (FCCI) President Engineer Muhammad Saeed Sheikh has expressed concern over gas closure for industrial units from November 15 and demanded that as per previous practice the minimum life saving quota be allocated for the textile processing units during the current winter season.

Commenting on the complaints lodged to FCCI against gas closure, he said that gas is the most important fuel for the processing industry and without it not even a single yard of cloth could be processed. He said that SNGPL has announced gas closure without taking the stake holders into confidence. He said that sudden closure will not only foment unemployment but also affect the national exports that has already recorded 11 percent decline during 1st quarter of this fiscal. He said that the business community was constantly demanding that before taking such drastic measures the government and its allied departments should consult the concerned quarters but they have continued the practice of making unilateral decisions. He said that such decisions despite of its importance or urgency could create distrust among the business community which is also detrimental to the national economy.

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Engineer Muhammad Saeed Sheikh claimed that with consultation, we could easily resolve the problematic issues in according to the ground realities. Moreover, such mutual decisions are also imperative for the political sanctity and stability of the government that had claimed last year that the industrial sector will get uninterrupted gas from this year, he added. He further said that last year after comprehensive deliberations it was decided that minimum life saving quota will be allowed which helped industrial sector to run its wheel and honor its foreign commitments in time. He made a humble appeal to the Prime Minister Muhammad Nawaz Sharif, Chief Minister of Punjab Shahbaz Sharif and Shahid Khaqan Abbasi Federal Minister for Petroleum and Natural Resources to immediately intervene and direct SNGPL to provide gas to the industrial units from the system instead of directing them to purchase costly RLNG. He said that this imported fuel will further enhance the cost of production making their exportable surplus uncompetitive in the international market.

He warned that the closure of industrial units will open the flood gates of unemployment which will worsen the law and order situation. It will also have negative impact on the exports and government has to get fresh loans to bridge the widening gap between imports and exports. He urged upon the government to immediately start negotiations with the representatives of trade bodies and chambers to carve out a mutually acceptable solution to this crisis.

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