Karachi – After 82pc increase in the cost of Electricity Tariff, now it is on the Card that the Gas Tariff for Export Oriented Industries will be raised by 86pc and for General Industries by 117pc. Additionally 10pc to be added more as “Blended Cost of RLNG” which is staggering said ateeq ur rehman (economic & financial analyst) .
An average of 90pc of Export Oriented Industries, General Industries, Import Substitution Industries, Value Added Industries and SMEs in Karachi will be the main sufferers and would not be able to bear such shock. This will be devastating for existing economic conditions and economy in anxiety.
He said that the SMEs sector does not have sufficient resources and they normally work on Marginal Profit, they will be biggest victim of such utility tariffs.
Further increase in Gas Tariff for Domestic Consumers will be fatal as they are still in the trauma of fighting to come out of menace of higher cost of electricity and in routine paucity of gas shortages in their houses, the expected raise in Gas Tariff will be agonizing for them added ateeq.
The Circular Debt in the Gas Sector is like Rs.400 bln. In the last 10 to 15 years, the circular debt is steadily increasing. The losses cannot be shifted to Industry or a common man. Also, front loading charges, pilferages and the line losses should not be included in the charges of consumer’s gas tariff.
The Government should consider bringing Gas Tariffs at a level that is sustainable and manageable for a quick relief to Industries and for Domestic Consumers.
