Pakistan government says in contact with businesses to 'sort out' chronic gas shortages

A Pakistani employee fills a gas cylinder at a filling shop in Karachi, Pakistan on July 23, 2015 (AFP/File)
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Updated 21 December 2020
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Pakistan government says in contact with businesses to 'sort out' chronic gas shortages

  • Export processing factories facing delays in orders as gas pressures and temperatures plunge, industry insiders say
  • Earlier this month, PM’s commerce adviser said the government had decided there would be no gas outages for exporters

KARACHI: The government is in touch with Pakistan’s major exporters and industrialists to sort out a solution to the chronic gas shortage delaying production in the winter months, the parliamentary secretary for commerce, industries & production said on Sunday.
The government announced on Saturday it would import more liquefied natural gas (LNG) in January next year to meet demand, as
Pakistani industries continue to undergo a critical shortfall of gas due to supply cuts and low pressures in major parts of the energy deficient country.
“We are in contact with exporters and other industrialists. This is our responsibility, to sort out all their problems and we are doing this already,” Aliya Hamza Malik told Arab News.
Natural Gas constitutes 50 percent of Pakistan’s primary energy mix. The local production of gas has been stagnant at 4,000 million cubic feet per day (MMcfd) for almost 10 years as compared to the constrained demand of 6,000 MMcfd and unconstrained demand of 8,000 MMcfd. 
Pakistan, chronically short of natural gas, diverts gas supplies toward its 220 million strong population in the winter by cutting down supplies to industries and power plants. This long-held practice disrupts the production activities of major industries which rely heavily on gas supplies to function.
“We are receiving complaints from industrialists all over Pakistan”, Sheikh Sultan Rehman, Vice President of the Federation of Pakistan Chambers of Commerce & Industry (FPCCI) told Arab News on Saturday. 
“Industries are facing low pressure and supply cuts and the situation is getting worse because even domestic consumers are facing problems,” he continued.
“Business activities are suffering due to the gas supply situation,” he added. 
Industrialists from Karachi, Pakistan’s largest city and business hub, have said the gas shortfall is delaying export orders.
“The gas supply situation at the moment is really bad. The pressure is so low that the generators can’t be operated and the textile factories that need gas for processing orders are delayed,” M. Shariq Vohra, President of the Karachi Chamber of Commerce and Industry (KCCI) told Arab News. 
Earlier this month, Abdul Razak Dawood, adviser to the Prime Minister for commerce, said the government had decided that there would be no gas outages for exporters. 
But industry insiders say this is not the case.
“All of Pakistan’s industries, whether they are export oriented or not, should be treated at par and a uniform policy should be in place”, FPCCI Vice President Rehman said.
The gas supply situation is similar in Pakistan’s eastern and most populous province Punjab, where production facilities are suffering as temperatures plunge. 
“We are facing difficulty at the domestic and industrial level. The routine supply of gas is disrupted, as there is a supply break of three hours each in the morning and evening,” M. Nasir Hameed Khan, Senior Vice President, Lahore Chamber of Commerce and Industry (LCCI) said. 
“The government has assured (us) that they will supply gas for 24 hours from January 6,” he added
The South Asian country, which faces a 2,000 MMcfd shortage, meets its deficit through the import of LNG.
The petroleum ministry on Saturday said the government had arranged 12 LNG cargoes for Jan. 2021.
“One cargo that was scheduled for 30th December, and was intended to supply for January 2021, has been moved a few days ago into January. In addition, the volume has been increased in certain cargoes,” the ministry said in a statement.
The ministry said the country’s gas utilities were facing a more than 9 percent load increase after temperatures dropped in different cities. 
With each 1-degree Celsius drop in temperatures, demand for gas increases by 6 MMcfd in the twin cities of Islamabad-Rawalpindi alone, according to the ministry.
The ministry said Pakistan will be moving 30 percent more LNG in January 2021 compared to January 2018, at the cheapest ever price of $6.34 (MBtu) for a peak winter month. 
But former federal finance minister, Miftah Ismail, warned that in January the shortage would further intensify and said if domestic industry was not supplied, it could have a major economic fallout. 
“Gas shortage will increase in January and they (government) are saying they will not supply gas to domestic industry, and if they will not supply... how will employment increase? Then how will tax be collected? And if you will not supply (gas) to the export industry, how will foreign exchange come,” Ismail told Arab News.


Turkish FM arrives in Islamabad amid Pakistan’s efforts to attract foreign investment

Updated 6 sec ago
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Turkish FM arrives in Islamabad amid Pakistan’s efforts to attract foreign investment

  • Pakistan last month completed a short-term $3 billion IMF program that helped stave off a sovereign default last year
  • The country is still dealing with high fiscal shortfall and has to meet a primary budget deficit target of $1.4 billion by June

ISLAMABAD: Turkish Foreign Minister Hakan Fidan on Sunday arrived in Islamabad on a two-day official visit to Pakistan, the Pakistani foreign ministry said, amid efforts by the South Asian country to boost foreign direct investment.

Islamabad has seen a flurry of high-level exchanges from diplomats and business delegations in recent weeks from Saudi Arabia, China, Japan, Azerbaijan, Qatar and other countries.

Pakistan Prime Minister Shehbaz Sharif has vowed to rid the country of its chronic macroeconomic crisis through foreign investment and efficient handling of the economy.

Upon arrival in Islamabad, Pakistan’s Additional Foreign Secretary Ambassador Ahmed Naseem Warraich received the Turkish foreign minister.

“Foreign Minister Hakan Fidan will call on Prime Minister Muhammad Shehbaz Sharif and hold extensive discussions with Deputy Prime Minister and Foreign Minister Senator Mohammad Ishaq Dar,” the Pakistani foreign ministry said in a statement.

“The two sides will review the state of bilateral relations and assess preparations for upcoming high-level engagements between the two countries.”

Pakistan, which has been facing low foreign exchange reserves, currency devaluation and high inflation, completed a short-term $3 billion International Monetary Fund (IMF) program in April that helped stave off a sovereign default last year.

However, the South Asian country is still dealing with a high fiscal shortfall and while it has controlled its external account deficit through import control mechanisms, it has come at the expense of stagnating growth, which is expected to be around 2 percent this year, compared to negative growth last year.

Pakistan has to meet a primary budget deficit target of Rs401 billion ($1.44 billion), or 0.4 percent of its gross domestic product, for the current fiscal year before the government presents its budget in June. The country is already in talks with the IMF for a fresh, longer-term bailout.


Pakistan Deputy PM to attend SCO Foreign Ministers’ meeting in Kazakhstan tomorrow

Updated 19 May 2024
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Pakistan Deputy PM to attend SCO Foreign Ministers’ meeting in Kazakhstan tomorrow

  • The SCO is a major trans-regional organization and its member states collectively represent nearly half of world population
  • Deputy PM Ishaq Dar will also hold bilateral meetings with his counterparts on sidelines of the SCO Foreign Ministers’ meeting

ISLAMABAD: Ishaq Dar, Pakistan’s deputy prime minister and foreign minister, will attend a meeting of the Council of Foreign Ministers of the Shanghai Cooperation Organization (SCO) on Monday, Pakistani state media reported.

Founded in 2001, the SCO is a major trans-regional organization spanning South and Central Asia, with China, Russia, Pakistan, India, Uzbekistan, Tajikistan, Kyrgyzstan and Kazakhstan as its permanent members. The SCO member states collectively represent nearly half of the world’s population and a quarter of global economic output. 

The organization’s agenda of promoting peace and stability, and seeking enhanced linkages in infrastructure, economic, trade and cultural spheres, is aligned with Pakistan’s own vision of enhancing economic connectivity as well as peace and stability in the region. 

The two-day meeting of the SCO Council of Foreign Ministers will begin in Astana on Monday, according to the state-run Radio Pakistan broadcaster.

“Deputy Prime Minister and Foreign Minister Muhammad Ishaq Dar will represent Pakistan at two-day meeting of the Council of Foreign Ministers of Shanghai Cooperation Organization, beginning at Astana in Kazakhstan tomorrow,” the report read.

“The Foreign Minister will also hold bilateral meetings with his counterparts on the sidelines of the Council of Foreign Ministers meeting.”

Since becoming a full member of the SCO in 2017, Pakistan has been actively contributing toward advancing the organization’s core objectives through its participation in various SCO mechanisms.

During his visit to China this week, Dar also met SCO Secretary-General Ambassador Zhang Ming and reiterated Pakistan’s commitment to the organization’s charter and its ideals, the Pakistani foreign ministry said in a statement.

“He expressed Pakistan’s strong commitment to advancing SCO’s security and development cooperation agenda,” the statement said.


Pakistan’s Punjab warns of ‘intense’ heatwave in southern districts next week

Updated 19 May 2024
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Pakistan’s Punjab warns of ‘intense’ heatwave in southern districts next week

  • Authorities asked to set up heatwave counters in all hospitals, ensure supply of essential medicines
  • Citizens are requested to take precautionary measures, avoid exertion and exercise in strong sunlight

ISLAMABAD: Authorities in Pakistan’s Punjab province have warned of an “intense” heat wave in southern districts of the province next week, urging people to take precautions and avoid going outdoors unnecessarily.

There is a severe risk of heatwave in Bahawalpur, Rahim Yar Khan, Dera Ghazi Khan and Multan districts from May 21 to May 27, according to the provincial disaster management authority (PDMA).

Authorities have been given instructions to set up heatwave counters in all hospitals and ensure the supply of all essential medicines.

“All departments can fight heat wave by working together and cooperating [with each other],” PDMA Director-General Irfan Ali Kathia said in a statement. “The next ten days are predicted to be engulfed by severe heat wave.”

Climate change-induced extreme heat impacts human health in multiple ways. Direct effects of exposure to extreme heat and heatwaves can include heat-related illnesses such as heat cramps, heat exhaustion, heatstroke, and hyperthermia. It can make certain chronic conditions worse, including cardiovascular, respiratory, and cerebrovascular disease and diabetes-related conditions, and can also result in acute incidents, such as hospitalizations due to strokes or renal disease.

Citizens are being informed about the dangers of heatwave through print, electronic and social media, according to the PDMA DG.

“The public is requested to take precautionary measures. Avoid exertion and exercise in strong sunlight,” he said. “Do not step out of the house unnecessarily. Wear light colored cotton clothes.”

People may dial the PDMA helpline 1129 or Rescue 1122 in case of an emergency situation, the official added.

Increased exposure to heat, and more heatwaves, have been identified as one of the key impacts of climate change in Pakistan, with people experiencing extreme heat and seeing some of the highest temperatures in the world in recent years. The South Asian country of more than 241 million, one of the ten most vulnerable nations to climate change impacts, has also recently witnessed untimely downpours, flash floods and droughts.

According to the Global Climate Risk Index, nearly 10,000 Pakistanis have died while the country has suffered economic losses worth $3.8 billion due to climate change impacts between 1999 and 2018. A deadly heatwave that hit Pakistan’s largest city of Karachi, the capital of Sindh, claimed 120 lives in 2015.

In 2022, torrential monsoon rains triggered the most devastating floods in Pakistan’s history, killing around 1,700 people and affecting over 33 million, a staggering number close to the population of Canada. Millions of homes, tens of thousands of schools and thousands of kilometers of roads and railways are yet to be rebuilt.
 


Helicopter carrying Iran’s president suffers a ‘hard landing,’ state TV says without further details

Updated 19 May 2024
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Helicopter carrying Iran’s president suffers a ‘hard landing,’ state TV says without further details

  • Ebrahim Raisi was traveling in Iran’s East Azerbaijan province
  • State TV described the area of the incident as being near Jolfa

DUBAI: A helicopter carrying Iranian President Ebrahim Raisi suffered a “hard landing” on Sunday, Iranian state television reported, without immediately elaborating.
Raisi was traveling in Iran’s East Azerbaijan province. State TV described the area of the incident happening as being near Jolfa, a city on the border with with the nation of Azerbaijan, some 600 kilometers (375 miles) northwest of the Iranian capital, Tehran.
Raisi had been in Azerbaijan early Sunday to inaugurate a dam with Azerbaijan’s President Ilham Aliyev. The dam is the third one that the two nations built on the Aras River.
Iran flies a variety of helicopters in the country, but international sanctions make it difficult to obtain parts for them. Its military air fleet also largely dates back to before the 1979 Islamic Revolution.
Raisi, 63, is a hard-liner who formerly led the country’s judiciary. He is viewed as a protégé of Iran’s Supreme Leader Ayatollah Ali Khamenei and some analysts have suggested he could replace the 85-year-old leader after his death or resignation from the role.


Around 540 Pakistani students to return from Bishkek today via commercial flights— deputy PM

Updated 19 May 2024
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Around 540 Pakistani students to return from Bishkek today via commercial flights— deputy PM

  • First batch of 130 Pakistani students from Bishkek arrived in Lahore on Saturday night 
  • Fifty students have also registered to return home via special air force flight, says deputy PM

ISLAMABAD: Deputy Prime Minister (DPM) Ishaq Dar announced the government has arranged three commercial flights to repatriate around 540 Pakistani students from Bishkek today, Sunday, following violent clashes in the city this week that led to the evacuations.

The development took place after frenzied mobs attacked foreign nationals in the Kyrgyz capital of Bishkek on Friday. The attacks began after videos of a brawl between Kyrgyz and Egyptian students went viral on social media, prompting furious mobs to target hostels of medical universities and private lodgings of international students, including Pakistanis, in the city.

The first batch of around 130 Pakistani students arrived in Lahore late Saturday night. According to official statistics, around 10,000 Pakistani students are enrolled in various educational institutions in Kyrgyzstan, with nearly 6,000 residing and studying in Bishkek.

“Three commercial special flights have been arranged for today (Sunday) on which 540 students will come back while 130 returned yesterday,” Dar told reporters during a media briefing in Lahore.

“A special flight of Pakistan Air Force will also bring around 130 students. So far, 50 students have registered themselves to come on this flight,” he added.

Dar said he spoke with the foreign minister of Kyrgyzstan today, Sunday, who assured him that the situation in the country was under control and that no new incidents had occurred since Friday afternoon.

“Kyrgyz foreign minister has confirmed that 16 foreign students including four to five Pakistanis got injured during this incident and are under treatment,” Dar said.

He added that Kyrgyzstan’s government has also assured that security at students’ hostels has been enhanced and that they were constantly monitoring the situation.

Earlier on Saturday evening, the PM’s Office said Prime Minister Shehbaz Sharif had directed Dar and another cabinet member, Amir Muqam, to travel to Bishkek on Sunday and address the situation there.

Dar said they were not traveling to the country at the Kyrgyzstan government’s request, adding that Pakistan has instead sent two officers from the foreign office to facilitate the country’s embassy.

“We were supposed to leave today for the Kyrgyz republic but their foreign minister requested [us] not to come because it would give the wrong impression about the incident and would provide fuel to the opposition,” Dar said.

He said Kyrgyzstan’s foreign minister has categorically denied any Pakistani students were killed in the clashes.

“Their (Kyrgyzstan) foreign minister also said they have arrested a few culprits and assured that no one involved will be spared,” the deputy prime minister said.

Dar said Pakistan’s foreign office had summoned the Kyrgyz Charge d’Affaires to the Ministry of Foreign Affairs on Saturday for a demarche over the current situation.

“It [violence] happened due to a clash between students and foreign students were targeted from Pakistan, India, Bangladesh and Arab countries,” he said.

Dar said Pakistan’s embassy had confirmed the situation is not tense anymore and that Pakistanis injured are being provided the best possible medical facilities.

Separately, in a telephone call with Pakistan’s Ambassador to Kyrgyzstan Hasan Ali Zaigham, PM Sharif instructed the embassy to make the necessary arrangements for the special plane to bring back Pakistani students.

The prime minister said injured Pakistani students should be brought back to Pakistan on a priority basis.

“The Prime Minister also instructed to ensure repatriation of family members residing in Kyrgyzstan with the Pakistani students,” PMO said.