Shortfall forces closure of CNG stations in Punjab, Islamabad

The ongoing gas crisis in the country prompted an outcry in Punjab and Islamabad after gas shortage forced closure of CNG stations. (AFP/photo)
Updated 30 December 2018
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Shortfall forces closure of CNG stations in Punjab, Islamabad

  • SNGPL to discontinue gas supply to all CNG stations from December 28, 2018, to January 10, 2019, due to maintenance issues
  • Low gas pressure in peak winter season pushes people to alternate fuel options adding to economic burden

LAHORE: The ongoing gas crisis in the country prompted an outcry in Punjab and Islamabad after gas shortage forced closure of CNG stations and domestic consumers started experiencing low gas pressure, aggravated further with a dip in temperature at the peak of winter in Pakistan.

Sui Northern Gas Pipeline Limited (SNGPL), in its notification dated December 27, 2018 announced discontinuing gas supply to all CNG stations from December 28, 2018, to January 10, 2019, due to maintenance issues. The company’s General Manager Qaiser Masood, however, assured that CNG would be provided to public transportation at specified outlets.

Ghiyas Abdullah Paracha, a central leader of the All Pakistan CNG Association, told Arab News that people attached with the business were considering agitation after the suspension of gas supply to CNG stations in Punjab and Islamabad.

He said that the suspension of gas supply to CNG stations will render thousands of employees jobless as, on average, at least 30 employees work at each CNG station. “Our business is already in tatters with only 1,300 CNG stations operational out of a total of 22,000 CNG stations in Punjab and Islamabad,” he regretted.

Approximately 0.6 to 0.7 million vehicles, out of a total of 3.7 million CNG vehicles in Pakistan, run on gaseous fuel in Punjab and Islamabad, he said. “These vehicles including buses, vans, rickshaws and taxies offer cheap transport to the public and shifting to petrol or diesel will increase fares. Hence, the impact of the economic cost will be transferred to poor people,” he said. The CNG Association is scheduled to announce the next strategy after its meeting on Monday.

The domestic consumers, on the other hand, are facing difficulties doing their daily household chores. “We will have to send our children to schools without breakfast once winter holidays end on December 31,” said Azra Parveen, a housewife living in Samanabad area of Lahore. “Either I cook food very late in the night or early morning when gas pressure improves due to low consumption,” she told Arab News. “Otherwise we have to buy cooked food from the market that increases the burden on the salaried class,” she added.

According to Pakistan Meteorological Department, a wave of dry cold weather persists across Punjab, while minimum temperature fell to -1.0°C in Islamabad on Saturday. According to the MET Department’s Regional Centre in Lahore, “Lahore and some other districts are experiencing frost with minimum temperature regularly falling below 5.0°C during night/morning hours.”

The low gas pressure has also forced people to use alternate fuel options like Liquefied Petroleum Gas (LPG), wood and coal, which further increases the economic burden on people.

A visit to the various sale points of alternate fuels in Lahore reveals black-marketing of substitute fuel at certain points as LPG is being sold at higher rates than the official price of Rs 115/kg. Wet and dry wood is being sold at Rs 450 and Rs 550 per 40 kg and coal of wood and stone is available at Rs 400 and Rs 550 respectively. “The price of alternate fuel has increased up to 50 percent due to the chilly weather in the absence of an effective price monitoring system,” said Sohail Khan, owner of a commercial oven in the outskirts of Lahore, who uses wood and LPG depending upon affordability.

Imran Maqbool, the spokesman for Office of Deputy Commissioner, Lahore, told Arab News that Lahore district government had been taking stern action against black-marketers of LPG and alternate fuels as over 100 FIRs have been registered against violators so far.

Rasheed Lone, former Managing Director of SNGPL, told Arab News that Punjab and Islamabad face a shortfall of 700 to 800 mmcf per day as demand increases during peak winter season. “The SNGPL diverts gas supply towards domestic users from the industry during the winter season,” he said.

He informed that the company is not obliged to provide gas to the zero-rated industry in three months from December to February as per their contract with the company. However, upon government’s request, he said, the company may supply gas to power and fertilizer companies.

“Geysers continue to consume gas even when not in use, so they must be turned off,” he said, further advising people to use heaters and geysers responsibly.

Federal Minister for Petroleum and Natural Resources Ghulam Sarwar Khan declined to comment despite multiple efforts. However, local media reported that Minister, in a meeting with parliamentarians and SNGPL officials, said the government is taking necessary measures to resolve the issue of low gas pressure on a priority basis to mitigate the sufferings of consumers.


Closing Bell: Saudi benchmark index closes lower at 10,540 

Updated 24 December 2025
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Closing Bell: Saudi benchmark index closes lower at 10,540 

RIYADH: Saudi equities ended Wednesday’s session lower, with the Tadawul All Share Index falling 55.13 points, or 0.52 percent, to close at 10,540.72. 

The sell-off was mirrored across other indices, with the MSCI Tadawul 30 Index retreating 5.79 points, or 0.41 percent, to close at 1,393.32, while the parallel market Nomu slipped 74.56 points, or 0.32 percent, to 23,193.21.  

Market breadth remained firmly negative, as decliners outpaced advancers, with 207 stocks ending the session lower against just 51 gainers on the main market. 

Trading activity moderated compared to recent sessions, with volumes reaching 123.5 million shares, while total traded value stood at SR2.72 billion ($725.2 million). 

On the sectoral and stock level, Al Moammar Information Systems Co. led the gainers after surging 9.96 percent to close at SR172.30, extending its rally following a series of contract announcements tied to data center and IT infrastructure projects.  

Al Masar Al Shamil Education Co. climbed 4.89 percent to SR27.48, while Naqi Water Co. advanced 3.36 percent to SR58.50. Al Yamamah Steel Industries Co. and Al-Jouf Agricultural Development Co. also posted solid gains, rising 3 percent and 2.86 percent, respectively. 

Losses, however, were concentrated in industrial names. Saudi Kayan Petrochemical Co. fell 3.67 percent to SR4.73, while Makkah Construction and Development Co. slid 3.44 percent to SR80.  

Saudi Tadawul Group Holding Co. retreated 3.28 percent to SR147.50, weighed down by broader market weakness, and Saudi Cable Co. declined 3.18 percent to SR143.  

Alkhaleej Training and Education Co. rounded out the top losers, shedding just over 3 percent. 

On the announcement front, BinDawood Holding announced the signing of a share purchase agreement to acquire 51 percent of Wonder Bakery LLC in the UAE for 96.9 million dirhams, marking a strategic expansion of its food manufacturing footprint beyond Saudi Arabia.   

The acquisition, which remains subject to regulatory approvals, is expected to support the group’s regional growth ambitions and strengthen supply chain integration.  

BinDawood shares closed at SR4.68, up 0.43 percent, reflecting a positive market reaction to the overseas expansion move.  

Meanwhile, Al Moammar Information Systems disclosed the contract sign-off for the renewal of IT systems support licenses with the Saudi Central Bank, valued at SR114.4 million, inclusive of VAT.   

The 36-month contract is expected to have a positive financial impact starting from fourth quarter of 2025, reinforcing MIS’s position as a key technology partner for critical government institutions. The stock surged to the session’s limit making it the top gainer. 

In a separate disclosure, Maharah Human Resources confirmed the completion of the sale of its entire stake in Care Shield Holding Co. through its subsidiary, Growth Avenue Investments, for a total consideration of SR434.3 million.  

The transaction involved the transfer of 41.36 percent of Care Shield’s share capital to Dallah Healthcare, with Maharah receiving the full cash proceeds.  

Despite the strategic divestment, Maharah shares closed lower, ending the session at SR6.12, down 1.29 percent.