Islamabad
\nThe Employers\u2019 Federation of Pakistan (EFP), applauds the Government\u2019s decision to ration natural gas supply for domestic consumption as the country faces a severe shortage of gas supply in this upcoming winter season. The country has one of the highest dependencies on natural gas worldwide in terms of domestic consumption. Considering that Gas and LNG make up over 40% of the country\u2019s energy mix, a plan of action for smooth supply of gas to industries must be formulated.
\nIn a statement, Ismail Suttar, President EFP said that the Government of Pakistan\u2019s primary goal should be to permanently eliminate the use of natural gas for domestic use. Pakistan has to import natural gas to meet energy needs and thus such high levels of consumption by the domestic sector negatively affects Pakistan\u2019s Balance of Payments (BOP) position.
\nThe surging US Dollar coupled with the high price of Natural Gas has worsened Pakistan\u2019s finances with the country\u2019s foreign reserves being the lowest in the last three years this October.
\nPresident EFP said, \u201cThe Federation has always been of the view that natural gas supply for domestic consumption should be rationed.
\nThe country uses more than 50% of its natural gas supply to accommodate domestic consumers. Businesses in Pakistan are the backbone of the economy, side-lining their energy consumption is therefore counterproductive to economic progress. Several key export industries of Pakistan rely heavily on natural gas as an energy source, however due to such high consumption by the domestic sector, industries are unable to meet their energy needs.
\nThe rationing of Gas should be done all year instead of just in the winter season. It is a need of the hour for Pakistan\u2019s domestic sector to start using alternative sources of energy and thus eliminating their dependency on natural gas as their primary source of energy.\u201d
\nSuttar was of the view that recently, the price of natural gas has been surging worldwide due to limited availability. The crisis has worsened as Europe has significantly increased its purchasing of natural gas supply from countries other than Russia due to ongoing the Russia-Ukraine conflict.
\nThis has further fuelled a crisis in the energy markets as supply is depleting while the prices of energy are increasing.
\n\u201cThe Employers\u2019 Federation of Pakistan (EFP) strongly supports any Government decisions prioritizing Pakistan\u2019s Industries. Smooth supply of energy to industries is crucial for the economy to progress forward,\u201d he said, adding that delays and interruptions in the supply of gas leads to several drawbacks and delays for businesses to operate and thus increases the complexity and cost of doing business in Pakistan.
\nThe Government must gradually implement policies to convert Pakistan\u2019s domestic sector gas consumption into alternative and more renewable sources of energy.<\/p>\n","protected":false},"excerpt":{"rendered":"
Islamabad The Employers\u2019 Federation of Pakistan (EFP), applauds the Government\u2019s decision to ration natural gas supply for domestic consumption as the country faces a severe shortage of gas supply in this upcoming winter season. The country has one of the highest dependencies on natural gas worldwide in terms of domestic consumption. Considering that Gas and […]<\/p>\n","protected":false},"author":2,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[5],"tags":[],"class_list":{"0":"post-295444","1":"post","2":"type-post","3":"status-publish","4":"format-standard","6":"category-business"},"yoast_head":"\n