December 01, 2023 (MLN): Due to the escalating gas prices in the country, industrialists in Karachi have announced a complete shutdown of all industries on Monday, December 04 to voice their discontent with the new pricing structure.
To recall, the government approved the long-overdue gas price hike on October 31 and the Oil and Gas Regulatory Authority (OGRA) issued a notification regarding the increase in natural gas sale prices and minimum charges on November 08, 2023
Accordingly, the SPI data released by the Pakistan Bureau of Statistics (PBS) this month showed that gas prices skyrocketed 480% to Rs1,711/mmbtu, from Rs295/mmbtu last month.
A press conference was held at the SITE Association of Industry by the industrial community to protest the increased gas rates ranging from Rs2,100 to Rs2,600 per MMBtu.
This was the 3rd Press Conference called on this matter, which was attended by key business personnel.
During the conference, the industrialists urged the government to bring down the gas tariff to Rs1,350 per mmBtu, a rate determined by Ogra that includes the 100% cost of gas, along with approximately 22% profit for the Sui Southern Gas Company (SSGC).
Jawed Bilwani, Businessmen Group Vice Chairman emphasized that the industries are now burdened with a new gas tariff that entails cross-subsidy, providing undeserved and unfair support to the fertilizer, domestic, and power sectors.
This comes as a major threat to the economy, given that the industrial sector in Karachi alone contributes approximately $48 million to daily exports.
Copyright Mettis Link News
Posted on: 2023-12-01T12:55:10+05:00