SSGC cuts off gas supply to captive power plants

KARACHI: The Sui Southern Gas Company Limited (SSGC) on Saturday stopped gas supply to all captive power plants (CPPs) for general non-export

industries across Sindh and Balochistan to meet the increasing demand of domestic consumers in winters on a priority basis.

The discontinuation of supplies would come into immediate effect and supplies would remain suspended till further orders, according to a letter issued to general industries.

The gas company said the discontinuation of gas supplies to these CPPs was being exercised under the Gas Sales Agreement (GSA) signed with CPPs.

The agreement clearly states that "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 consumers gas supply disconnected at his cost each year,” it added.

“Gas supply to CPPs shall remain discontinued till further orders; however, gas supply to zero-rated export industry including its CPPs along with the fertiliser sector will continue.”

The company said the volume of gas curtailed from this arrangement would be diverted to domestic customers to cater their enhanced gas needs in the winter season.

It may be noted that in Balochistan supply of additional gas is a must for the survival of human lives since gas

serves as a lifeline for the populace

needing to keep themselves warm through water and space heating using gas appliances in the extremely low temperatures.

Various parts of the country face the issue of low gas pressure with the advent of winter season as people crank up heaters to keep themselves warm amid the cold weather, driving up the commodity’s demand.

The company said, with the advent of winter season, it was facing severe shortage in the indigenous gas receipts from producers every resulting in depleting line pack.

“SSGC is also experiencing increased gas consumption in the domestic sector that peaks during winter seasons and ultimately causes low gas pressure in the system,” the gas utility said.

Earlier this month, Energy minister Hammad Azhar said the government had a plan to supply uninterrupted gas to domestic consumers three times a day for cooking only during winter in view of the gas shortage in the country.