Karachi industrialists announce production shutdown next week against gas price hike

A Pakistani employee fills a gas cylinder at a filling shop in Karachi on July 23, 2015. (AFP/File)
Short Url
Updated 01 December 2023
Follow

Karachi industrialists announce production shutdown next week against gas price hike

  • On Oct. 31, Pakistan announced rise in natural gas prices for most households and industry ahead of IMF review
  • Industry leaders say gas tariffs for industry increased to about Rs2,600 per MMBtu, call for Rs1,350 per MMBtu

KARACHI: Pakistani industrialists in the country’s commercial hub of Karachi have announced a complete production shutdown on Monday, Dec.4, to force the government to reverse a hike in gas prices.

On Oct. 31, Pakistan announced a sharp increase in the price of natural gas for most households and industry ahead of the cash-strapped country’s first review of a $3 billion International Monetary Fund (IMF) bailout.

Gas tariffs for industry have increased to about Rs2,600 per Metric Million British Thermal Unit (MMBtu), which industry leaders say should be brought down to Rs1,350 per MMBtu, determined as the 100 percent cost of gas by the national regulator.

“The industrialists of Karachi have declared shutdown of all industries on Monday, December 4,” a representative body of industries in Sindh province, of which Karachi is the capital, said in a press release on Thursday.

“We announce that our protests have become stronger as Lasbela Chamber from Baluchistan [province] along with Nooriabad and Kotri Chambers have also joined our protest and assured to fully endorse all the strategies adopted by Karachi Chamber of Commerce and Industry (KCCI) to deal with the situation.”

Jawed Bilwani, vice chairman of the ruling Businessmen Group (BMG) at KCCI, said industries had already put up protest banners at the offices of all trade associations.

“The industry demands fair gas tariff of Rs1350 per MMBtu but would never accept the unbearable and unabsorbable gas tariffs ranging from Rs2100 to Rs2600 per MMBtu which have been imposed to … terribly penalize the industrial sector of the country that forms the backbone of the economy,” Bilwani said.

President SITE Association of Industry, Muhammad Kamran Arbi, said the new gas tariff was “simply unbearable” for industries, calling on the government to hold a meeting with industry stakeholders “to reach a consensus on the gas price since the existing tariff has outgrown the manufacturing costs.”

Last month, while announcing the hike in gas tariffs, Energy Minister Muhammad Ali said the tariff increase would generate nearly 400 billion rupees ($1.42 billion), adding that the state-run gas sector would from now on face no losses.

Energy sector debt has been the main issue that the IMF has highlighted in tackling the fiscal deficit and it has been recommending measures to deal with it.


Nearly 25% of Pakistan’s primary schools enrolling girls operate as single-teacher ones— report

Updated 13 sec ago
Follow

Nearly 25% of Pakistan’s primary schools enrolling girls operate as single-teacher ones— report

  • Pakistan needs over 115,000 more teachers in primary schools enrolling girls to meet global benchmark of one teacher per 30 students, says report
  • Sixty percent of Pakistani primary schools enrolling girls are overcrowded, while 32% lack clean drinking water or toilets, says Tabadlab report

ISLAMABAD: Nearly 25% of Pakistan’s primary schools that enrolls girls operate as single-teacher ones, a report by a leading think tank said this week, calling on the government to devolve teacher recruitment powers, upskill underutilized teachers and introduce reforms to hire and promote faculty members. 

Pakistan faces an acute education crisis which is reflected in the fact that it has the world’s second-highest number of out-of-school children, an estimated 22.8 million aged 5-16 who are not in educational institutions, according to UNICEF. 

While poverty remains the biggest factor keeping children out of classrooms, Pakistan’s education crisis is exacerbated by inadequate infrastructure and underqualified teachers, cultural barriers and the impacts of frequently occurring natural disasters. 

According to “The Missing Ustaani,” a report published by Islamabad-based think tank Tabadlab and supported by Malala Fund and the Pakistan Institute of Education (PIE), Pakistan needs over 115,000 more teachers in primary schools with girls’ enrolment to meet the basic international benchmark of ensuring one teacher per 30 children. Currently, the average Student-to-Teacher Ratio (STR) across Pakistan’s primary schools with girls’ enrolment is 39:1, it said. 

“Approximately 60% of these schools are overcrowded, necessitating the recruitment of over 115,000 additional teachers nationwide,” the report said on Monday. “Compounding this, nearly 25% of primary schools with girls’ enrolment operate as single-teacher schools, placing immense pressure on the quality of education.”

It said the situation is more dire in Pakistan’s poverty-stricken southwestern Balochistan province, where nearly 52% of the schools are single-teacher only ones while the percentage decreases slightly in the southern Sindh province to 51 percent. 

The report said while the STR improves to 25:1 at the middle school level, acute shortages of subject specialists emerge as the top-priority concern for quality education in these schools.

“Furthermore, around 32% of primary schools with girls’ enrolment and 18% of middle schools face ‘critical infrastructural shortages’— lacking clean drinking water or toilets in addition to high STRs— which significantly affects girls’ attendance and learning, particularly during adolescence,” the report said. 

The report cited a set of priority recommendations to address Pakistan’s systemic teacher deployment challenges and improve educational equity for girls. 

It urged the government to devolve recruitment authority to school or cluster levels to enable timely, context-specific hiring. It also called upon authorities to reform teacher transfer and promotion policies to introduce school-specific postings with minimum service terms. 

This, it said, would reduce arbitrary transfers and improving continuity in classrooms. The report advised authorities to upskill surplus or underutilized primary teachers to support instruction at the middle school level, helping address subject-specialist shortages.

“Together, these reforms offer a pathway toward a more equitable, efficient, and responsive teaching workforce— one capable of improving learning outcomes and ensuring that every girl in Pakistan has access to a qualified teacher,” the report said. 

To tackle Pakistan’s education crisis, Prime Minister Shehbaz Sharif declared an ‘education emeregency’ in September 2024, stressing the importance of education for all.