Pakistan Industrial and Traders Association Front criticize government decision to cut gas to industrial sector

Lahore, June 25, 2012 (PPI-OT): Pakistan Industrial and Traders Association Front (PIAF) has severely criticized the government decision to cut gas to the industrial sector for another day and demanded of the government to withdraw the decision immediately in the larger interest of the industrial sector.

In a press statement issued here Monday, Chairman PIAF Sohail Lashari said that it would be better if Prime Minister consults with the stakeholders before taking such initiatives.

He said that further curtailment of gas would push the textile industry to the wall that was already facing huge problems owing to the high input cost and high mark-up rate etc. Therefore, he said that the government should give priority to this sector and avoid from unleashing to gas load shedding otherwise the industry, particularly textile processing and knitting units would close down their operation.

He said that the unannounced and prolonged electricity load shedding has already crippled the industrial activities while load shedding of gas would badly hit the textile industry that is the largest export sector of the country.

He said that further load shedding of gas would bring economic activities to a grinding halt so the government should give priority to this sector in order to revive economic activities in the country.

He said that instead of controlling electricity theft of billion rupees, government has planned to cut the gas supply of textile industry and provide it to the private power producers that would result in closure of a good number of industrial units, one of the leading job providing sectors.

He said that at the moment when the industrial production was registering negative growth and the business community was facing severe difficulties in dealing with banks, the increase in gas load shedding would leave them with no other option but to shut down their units.

He said that load shedding of gas would badly affect the export-oriented industry, which would not be able to meet the deadlines of export if the authorities resorted to load shedding.

To overcome the huge electricity load shedding, government should make early payments to the IPPs and enhance hydel generation as soon as possible.

For more information, Contact:
Pakistan Industrial and Traders Associations Front
110/s Kot Lakhpat Industrial Estate
Lahore, Pakistan
Phone: (92) 42 5123522
Fax: (92) 42 5123522
Email: Info@piaf.pk

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