Sindh Chief Minister Syed Murad Ali Shah presiding over a joint meeting of K-Electric (KE) and Sui Southern Gas Company Limited (SSGCL) here at the CM Hose on Sunday has categorically told both the entities that due to their personal disputes he would not allow them to punish the people of this city.
The meeting was attended by SSGC Chairman Board of Directors Lt. Gen. (retd) Javed Zia, Board of Directors Agha Sher Shah, Rizwan Kehar, MD SSGC Amin Rajput, Sr GM Saeed Larik, CFO Fasihuddin Fawad.
The KE was represented by its Chairman Waqar Siddiqui, CEO Tayyab Tareen, Board of Directors Zubair Motiwala, Khalid Rafi, Mubasher Shaikh, Freeric Sicre, Chief Generation Officer Dale Sinkle, Chief financial Officers Moonis A. Alvi, and Directors Aamir Qureshi.
The chief minister was assisted by his Principal Secretary Sohail Rajput and Secretary Energy Agha Wasif.
The chief minister said that Karachi is currently facing increased electricity load shedding. The KE blames SSGCL for reduced gas supply, resulting in the decreased generation of electricity. The SSGCL denies and claims that 90 mmcfd is being supplies against the old agreement of 10 mmcfd signed in 1970s.
He said that in the claims and counter claims between the two organizations people of this city suffer a lot in this sweltering weather. Therefore, he had written a letter to the prime minister and took this issue with him.
It was pointed out in the meeting that SSGCL provides gas to KE without any gas supply agreement (GSA) for production of electricity from gas-based power generation plants. The SSGCL follows the ECC decisions for supply of gas. It was also noted that from 2001 to 2008, the ECC allocated supply of up to 276 mmcfd gas to KE for its multiple gas-based power plants.
The KE has four gas-based power plants which require 180 mmcfd to generate 1104 MW electricity. Additionally, KE requires 10 mmcfd, as pilot fuel, to operate duel fuel gas/furnace oil-based plant at Bin Qasim Power station.
It was also told in the meeting that minimum 190 mmcfd gas is required in summer for operating single fuel gas-based plants at full load. The SSGCL has significantly curtailed gas supply to KE and the current supply is 90 mmcfd. The average for 2017 was 141 mmcfd versus 177 and 167 in 2015 and 2016 respectively.