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Gas disconnections, NKATI calls catastrophe for the industries

Gas disconnections, NKATI calls catastrophe for the industries

KARACHI: Faisal Moiz Khan, President North Karachi Association of Trade & Industry (NKATI), strongly opposed the decision of the Power Division to cut off gas supply to all industrial units from February 2021, calling it unwise, anti-industry and asked the Federal Government, Minister for Planning, Development & Special Initiative Asad Umar, immediate withdrawal it and not to make decisions that would hamper production activities, otherwise industrialists will stop relying on government policies and will be reluctant to invest in the future.

In a letter sent to Federal Minister Asad Umar, NKATI president said that North Karachi Industrial Area is the largest Industrial Area in terms of small & medium enterprises (SMEs). It is spread over an area of 725 acres and more than 2500 SMEs are operating, where About 90pc of them are export oriented units. Major units are textile and textile made-ups, leathers, Flour mills, Pharmaceuticals, cardboards, foods and beverages, light engineering, Soap, Dyeing & Bleaching, Ice manufacturing, Chemicals, Packaging, Marbles, Matches, Pottery, Printing etc.

“When the problems of Power Shortage started in the industries, due to which industrialists invested for self-power generation and bought generators and a coherent system was devised to generate electrical power in the industries under which the wheel of industries is being driven”, he pointed out.

NKATI president stated that now the power division has recommended that given the overall gas demand and supply situation, supply of gas should be discontinued with effect from 1st February 2021 to all industrial units which are using it primarily for power generation for self-consumption, this is an unwise decision because the industrialists have invested heavily in a system to achieve power generation. Now the government is discouraging this move of the industrialists instead of appreciating.

He further said that industrialists are being forced to purchase power from K-Electric and pay all charges including system development charges to get the electrical power, which is totally unfair and unjustified. The Government should reconsider its decision and stop implementation, otherwise it will be a great catastrophe for the industries by the Government. Industrialists will stop relying on the Government’s industrial policy and will have to think hard to invest more in the future.

“The industrial system should not be stopped and the laborers working in the industries should not be unemployed, they devised a system for power generation”, he added. If the Government does not reverse the decision, the question will arise as to where the industrialists will get power for their industries? While K-Electric is overloaded in terms of power. How can the industrialists rely entirely on K-Electric?

Faisal Moiz Khan, in the light of foregoing facts, demanded to Federal Minister Asad Umar and Government to withdraw that decision in order to prosper Industrial units of Karachi.