SNGPL commits uninterrupted winter gas supply to boost textile exports

ssgc gas supply karachi industries

Sui Northern Gas Pipelines Limited (SNGPL) has provided a commitment to the All Pakistan Textile Mills Association (APTMA) regarding the seamless supply of gas to textile mills during the winter season.

SNGPL, under the leadership of Managing Director Amer Tufail, assured an APTMA delegation led by Chairman Kamran Arshad that uninterrupted gas supply with optimal pressure would be maintained for the export industry.

This measure aims to facilitate smooth production and enhance textile goods’ exports to maximise foreign exchange for the nation.

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During the meeting, MD Amer Tufail emphasised that the export industry, utilising a system integrated with RLNG (Regasified Liquefied Natural Gas), would be subject to a shared tariff of 50:50 for November.

He highlighted the historical priority given to the export industry in gas supply and urged APTMA member mills without existing gas connections to apply promptly.

Regarding new connections and load enhancements, Tufail mentioned that clarity on tariff applications would be sought from the Ministry of Petroleum in the near future.

In anticipation of the non-availability of natural gas during the winter months from December to March, MD Tufail clarified that the industry would be charged at the RLNG rate set by OGRA on a monthly basis.

Chairman Kamran Arshad raised concerns about industry confusion regarding gas tariffs for the upcoming winter months after the federal government’s tariff rationalisation.

Discussions delved into issues such as gas tariff specifics for connections predating June 2022, post-June 2022 connections with or without zero-rated FBR certificates, and the utilisation of APTMA certificates for gas supply to zero-rated industrial units.

MD Tufail acknowledged SNGPL’s limitations in determining eligibility for new connections, emphasising the need for the Commerce and Energy Ministries’ intervention to establish an eligibility framework.

The meeting also addressed concerns related to new gas connections, faulty metre replacements, erroneous charging due to slow or faulty metres, and low gas pressure. MD Amer Tufail underscored the commitment to uninterrupted gas supply, particularly to export-oriented sectors, recognising the vital role of the textile industry in job creation, attracting investment, and boosting the country’s exports.

He pledged a thorough examination of issues raised by APTMA and assured a proactive approach to ensure a smooth gas supply, with nominated focal persons from both SNGPL and APTMA tasked with holding periodic meetings to promptly resolve any gas-related challenges in the textile industry.

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