PM hindering gas extraction from a discovered field

Posted by Imran | Posted in Industry, Opinion, Pakistan | Posted on 12-01-2010

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Islamabad – At a time when country is facing severe energy crisis, Prime Minister Syed Yousuf Raza Gilani has unnecessarily delayed gas extraction from a discovered gas field Kunar Pesakhi, located some 25 kilometres east of Hyderabad, according to an English daily.

Arshad Nasr, former MD of OGDCL, was not in favour of delaying the installation of gas extraction equipment at the gas field and wanted to start work in July 2008 but he was forced to delay the project. On his resentment, the project was postponed after a letter from PM Secretariat was received and he was replaced.

Kunar Pesakhi is a gas field that can feed the major part of entire private industry and may also be helpful in overcoming power crisis in the country. The said plant is able to produce 280 million cubic feet of gas daily.

This field also can produce 1000 MW of electricity or feed almost the entire industrial sector that currently is at the mercy of gas loadshedding causing loss of exports and unemployment. Commencement of gas production from KPD field will also reduce oil imports.

According to reliable sources, tenders were invited in 2008 for the installation of equipment on the gas field to extract gas and LPG, and two days earlier to the date of tender opening or presentation, the authorities of OGDCL postponed the tenders and till now the situation is same.

The tenders were allegedly stopped due to vested interests of some strong lobby in LPG business because the authorities wanted to give the contract to their blue-eyed or to a party that could make them happy.

Preparation of installing facilities for commencing production from this field was stopped after an anonymous letter was received in 2008 from one Muhammad Ramzan at the behest of a powerful LPG lobby. This lobby is so strong that no further work has been done to produce any gas from this major gas field.

Source: technologytimes.pk

CNG Crisis in Pakistan

Posted by admin | Posted in Industry | Posted on 14-12-2009

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CNGThis is really bad, CNG crisis in Pakistan is causing huge problems for public and also for transporters; it is in news reports that Government of Pakistan is planning to make CNG rates equal to petrol, this action of Government will have adverse affect on CNG industry in Pakistan; there are also reports that Government of Pakistan may completely abandon CNG in Pakistan due to energy crisis.

CNG sector has showed tremendous growth in recent years; in 2001 there were only 200 CNG stations and now there are more than 2941 CNG stations in Pakistan; Pakistan took over Argentina in 2008 to become world’s largest consumer of CNG gas in vehicles; total investment in this sector is now standing at Rs 66 billion and till now it has created 100000 lac jobs.

If  Government wants to completely abandon CNG in Pakistan or wants to make some changes in this sector, it has to take CNG industry in confidence and it has to compensate CNG industry.