OGRA's Public Hearing: Zubair Motiwala skeptical about SSGC's petition - Press Release issued by Karachi Chamber of Commerce and Industry.

Karachi -- November 22, 2022 (PPI-OT)

Following is the text of press release issued by Karachi Chamber of Commerce and Industry (KCCI)

Quote

Chairman Businessmen Group (BMG) and Former President Karachi Chamber of Commerce and Industry Zubair Motiwala has said that Pakistan needs to increase the exports but it was not happening at all as the exports have been constantly declining because of unavailability of gas to the industries.

"How could the government expect from exporters to deliver and compete with Bangladesh and India when they have no gas. We are capable of enhancing the exports by 50 percent or $15 billion within the installed capacity but this can only be achieved when gas is available at required quantum and quality along with competitive price" he added while speaking at a Public Hearing organized by Oil and Gas Regulatory Authority (OGRA) here in a local hotel on Monday which was presided over by Chairman OGRA Masroor Khan along with Member Oil Zain-ul-Abideen Qureshi and Member Finance Mohammad Naeem Ghori to take inputs about SSGC's petition seeking tariff hike.

While referring to the Energy Year Book of Pakistan and Economic Review of Bangladesh, Chairman BMG said that Bangladesh gives 34 percent gas to the industries whereas in Pakistan, only 21 percent gas was given to the industries. "Yet we are blamed for being unable to enhance the exports which is highly unfair as we are being asked to deliver without realizing the ground realities. In Bangladesh and India, domestic consumers are not the first priority but it is the industries which get gas on top priority that is the basic reason for prosperous exports in these countries."

He was of the opinion that ill-planned gas priority chart was the main cause for all the economic issues being faced by the country as it was all due to this chart which gives first priority to domestic users instead of industries which happens nowhere around the world. "To provide gas to 29 percent of the country's population as the rest of 71 percent to date use other conventional sources for overcoming domestic heating needs, gas to the industries is denied who bear the highest cost of gas as domestic users pay only 30 percent cost and fertilizer sector pays 15 percent while the remaining is completely borne by the industries."

Zubair Motiwala said that Pakistan was going through worst financial crisis as the exports were going down, home remittances have also descended by 9 percent, inflation...

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