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Cut in Dec 2014, gas supply partially restored to industry after 3 months

Cut in Dec 2014, gas supply partially restored to industry after 3 months

LAHORE: After almost three-month cut-off, the Sui Northern Gas Pipelines Limited (SNGPL) will partially restore gas supply to the general industry.

Meanwhile, textile industry is already getting supply for six hours a day. All industrial sectors except textile remained without gas supply for almost three months of winter, including steel, plastic, cement, pharma, paper, ceramic and electrical goods, industry sources said.

The industries of Lahore, Sheikhupura and Sahiwal would be provided gas for two days till Friday morning 6am, said SNGPL authorities. The industries of Bahawalpur, Gujranwala and Islamabad regions would be given gas for next 48 hours starting from Friday.

The demand of gas by the domestic customers has decreased due to change of season. They said that gas supply of industries would be increased after March, they said. They added that the gas supply to the industrial sector, excluding textile, was suspended in December 2014 due to gas shortage in winters.

All Pakistan Textile Mills Association chairman said the cost of energy for textile industry in regionally competing countries is not more than 8 cents as against 13 cents in Pakistan. Besides, the competitors are also enjoying government support on export, investment and production subsidies incentives across the region, he said.

He said free fall of Euro against Pak Rupee by over 21% in short span of 6 months has added fuel to the fire, as 35% of Pakistan’s textile exports are destined to the EU region. Erosion of competitiveness has nullified the benefits of GSP plus market access to European Union.