LAHORE: Punjab’s textile industry on Tuesday expressed concern over increase in gas tariff from $6.5 to $9 per million British thermal units (mmBtu) for export-oriented units in the province and urged the federal government to withdraw the revised rates at the earliest.

Meanwhile, Punjab Minister for Industries Mian Aslam Iqbal assured a delegation of All Pakistan Textile Mills Association (Aptma) of taking up the issue with the federal government. “I will take up the issue of gas price hike from $6.5 per mmBtu to $9 per mmBtu for export-oriented units in Punjab with the federal government at all appropriate levels as it has led to a huge price disparity among provinces,” Mr Iqbal said.

The Aptma delegation, led by its chairman (Northern Zone) Hamid Zaman, briefed the minister about the gas price disparity between Punjab and other provinces. Gas prices in Sindh and Khyber Pakhtunkhwa are $4.87 per mmBtu compared to Punjab where rates have been hiked to $9 per mmBtu.

Mr Zaman said gas price of $4.05 per mmBtu in Bangladesh and $5.19 per mmBtu in India was also much lower than the tariff applicable to Punjab-based export industry.

“The Regionally Competitive Energy Tariff provided by the current government over the past three years has yielded outstanding results. The industry has invested Rs450 billion in machinery for capacity enhancement as per commitment,” he added.

Published in Dawn, December 8th, 2021