Business

SSGC Clarifies Reports About Suspension of Gas to Industry

Sui Southern Gas Company Limited (SSGC) has categorically clarified and denied the misguiding news circulating in the media about the suspension of gas supplies to the industrial sector.

The company said it is not at all suspending regular gas supplies to the industries. “Our letters to the industrial customers have been misinterpreted by the industrial and trade organizations through their media statements that need to be clarified,” it stated.

SSGC has written letters to each industrial customer that has been using gas for power generation for suspension of gas supplies only for power generation and not for their regular usage.

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In view of the widening demand and supply gap especially with the drop in mercury, the Company implements the Government of Pakistan’s Gas Load Management Plan whereby it gives top priority to the domestic and commercial sector for supplying gas, especially those living in Balochistan where demand for gas increases manifolds due to space and water heating needs.

This situation is further compounded by the fact that gas reserves are being fast depleted at an annual rate of 10 percent which further places pressure on the Company’s line pack system. As part of this plan, gas supplies to all local industrial customers for their use for power generation are being suspended for three and a half months, i.e. from November 15, 2022, to February 28, 2023.

Moreover, 50 percent reductions in supplies of Export industrial units for their power generation shall also be suspended for the same period.

These closures are in line with the contract already signed between SSGC and each individual industrial customer that clearly states: ”Gas supply will be provided by the Company on ‘as and when available basis’ only during the period from March to November each year. The Consumer will make dual firing arrangements to avoid loss of production as and when gas is not available during March to November and also during December to February when the Company will keep the Consumer’s Gas supply disconnected at his cost, each year”.

The volume of gas curtailed from this arrangement would be diverted to domestic customers for them to cater to their enhanced gas loads in the context of the winter season. It may be noted that gas thus saved (approximately 160mmcfd gas) will then be diverted to Balochistan where a supply of additional gas is a must for the survival of human lives, as gas serves as a lifeline for the majority of the population.

SSGC said it looks forward to all industrial customers for their understanding on the matter and expects their cooperation for serving the domestic customers better through uninterrupted gas supplies.

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ProPK Staff