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Updated 25 Jul, 2015 07:45am

SSGC told to resume supply to Steel Mills

KARACHI: Sindh Chief Minister Syed Qaim Ali Shah expressed deep concerns over the discontinuation of gas supply to Pakistan Steel Mills (PSM) to be effective from July 28 and directed the managing director of Sui Southern Gas Company (SSGC) to ensure uninterrupted supply, as well as maintain production levels.

The chief minister, addressing complaints of the Pakistan Steel Peoples Workers Union, telephoned the SSGC chief on Friday to inquire about the notice issued regarding the discontinuation. He referred it as tantamount to destabilising the PSM, which is giving profit and providing jobs to almost 17,000 workers. “PPP will not allow any individual and organisation to hatch conspiracies against the steel mill and its workers,” he said.

He recalled that a low gas pressure to PSM since June 10, 2015 had already caused huge losses to the management of almost Rs3 billion. Implementation on the notice by SSGC would not only destabilise the steel mill but also pose as a serious threat to the employment to thousands of workers.

The chief minister was surprised over the SSGC notice as according to him the Economic Coordination Committee (ECC) had already settled the issue of gas payment during 2013-14. Besides, he pointed out, the gas payment was a matter between two government organisations and such a non-payment issue should not deprive and penalise workers from their right to a job and the nation from steel production.

The CM said he would take up the matter with the federal government and in case of a cold response would take it up in the Council of Common Interests agenda.

The CM said that the PSM is an asset to the nation gifted by Shaheed Zulfikar Ali Bhutto. He said that PPP has always raised a voice for the interest of the worker class and would protect their rights at any cost.

Meanwhile, PPP MNAs Aftab Shaban Mirani, Naveed Qamar, Nawab Yousuf Talpur, Sardar Kamal Khan Chang and Pir Muhammad Shah Jilani, in a joint statement from the PPP Sindh media cell, said that the PML-N federal government had purposely ignored the needs of PSM, which continued to suffer from retrenched water supply, disrupted electricity supply and suspension for prolonged hours, along with low gas pressure. These anomalies impeded steel production.

They said the low gas pressure had destroyed a lot of production plants of the PSM, which would require a minimum of Rs10 billion and would take almost 2 to 3 years to repair them.

The statement said the PSM had paid Rs400 million to the SSGC in March 2015 while Rs2.2 billion were further paid to the gas company during the year 2014-15. To date the overall outstanding dues payable to the gas company were just Rs8 billion while the addenda to the outstanding dues was in form of surcharge. They said the PSM had assured the SSGC of payment of the gas bill for the current month.

The ultimate end of the government’s intention revolved around rendering the national strategic institution as a financial burden and a defaulting entity at the behest of the IMF, which did not correlate to any ground reality, they pointed out.

PSM workers stage protest

Workers of the PSM also staged a demonstration on Friday against the proposed disconnection of gas supply. Organised by the Pakistan Steel People’s Workers (CBA) Union at the Karachi Press Club, workers were seen carrying banners and chanting slogans.

They demanded that the federal government ensure that the gas supply to the steel mill would not be disconnected. They also protested against the lowering of the pressure of the gas which had affected productivity.

Published in Dawn, July 25th, 2015

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