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MPS Preview: High for Longer

SSGC, SNGPL reinforcing gas transmission network

Pakistan plans to reduce Rs1.6tr of debt in gas sector: Ishaq Dar
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December 18, 2022 (MLN): In order to provide a smooth gas supply to domestic, industrial, and commercial consumers, Sui Northern Gas Pipelines Limited (SNGPL) and Sui Southern Gas Company (SSGC) are in process of laying almost 10,707-kilometer pipelines to reinforce gas transmission networks in their operational areas across the country during the current fiscal year.

Accordingly, SNGPL would place 9,605 kilometers while SSGC would place 1,102 transmission and distribution pipelines worth Rs113.9 billion in their respective areas.

The companies have planned to invest Rs27,669 million on transmission projects, Rs77,484mn on distribution projects, and Rs8,746mn on other projects bringing the total investment to Rs113,899mn during the fiscal year 2022-23,” as per reported by APP.

The available statistics indicated that Pakistan has an extensive gas network with more than 13,513 KM transmission, 155,679 KM distribution, and 41,231 KM service gas pipelines to cater to the requirement of millions of consumers while the number of consumers has increased from 10.3mn to more than 10.7mn across the country.

In addition, the companies are also executing at least three strategic projects to supply gas to two Special Economic Zones (SEZs) and an industrial park in their respective areas to boost industrial production. 

For this purpose, the government has allocated funds amounting to Rs431.45mn in the Public Sector Development Programme (PSDP 2022-23) to advance three ongoing projects one each in Balochistan, Sindh, and Punjab.

It is pertinent to mention that the SSGC is laying a pipeline to supply 10mmcfd Re-gasified Liquefied Natural Gas (RLNG) to Bostan Special Economic Zone (SEZ) in Balochistan Province with an allocation of Rs100mn for the current fiscal year, and a dedicated line to provide 13mmcfd RLNG to Bin Qasim Industrial Park, located in Karachi city of Sindh province, with Rs74.71mn funds. 

Similarly, the SNGPL is carrying forward a project to supply 40mmcfd gas/RLNG to Allama Iqbal Industrial City, a Special Economic Zone in Faisalabad of Punjab province, for which the government has earmarked Rs256.74mn funds in the PSDP 2022-23.

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Posted on: 2022-12-18T18:36:06+05:00