Energy ministry, APTMA at loggerheads over gas supply, pricing

KARACHI: A war of words between office bearers of All Pakistan Textile Mills Association and Minister of Energy has intensified over interrupted gas supply and hike in tariffs as both sides are blaming each other for dishonouring commitments.

Making his point in the Geo News program - “Naya Pakistan”, Chairman APTMA Abdul Raheem Nasir claimed that the Prime Minister Imran Khan had given a commitment of uninterrupted supply of gas against $6.5 MMBtu in addition to 7.5 cents per unit electricity for five years to give the much-needed impetus to the textile industry. However, he claimed, policy change after every two months would badly hurt the industry and exports target.

The "government will have to focus on the long-term agreements of RLNG buying instead of indulging in spot-buying which can make things easier for all the stakeholders," asserted Chairman APTMA, adding, "textile industry is expected to generate $21 billion through exports this year. The government has hiked tariffs for IMF's one billion dollar loan instead of supporting the textile industry which has the potential to bring billions of dollars into country."

The Chairman APTMA, Abdul Raheem Nasir categorically denied making any commitments with the ministry of energy on withdrawal of subsidy and shifting plants to national grid. On the other hand, Minister for Energy Hammad Azhar said he did not breach any commitment, rather it was APTMA which has failed to honour its commitments time and again.

The “APTMA agreed to the withdrawal of subsidy being given on gas last year while committing to shifting its plants to national grid and approved energy audit of the sector, but now APTMA is not willing to abide by the commitments ,” he added.