KARACHI: SITE Association of Industry president Asad Nisar on Saturday showed his surprise over recent announcement of increase in water and gas tariffs, saying he fails to understand logic behind the tariff increase.
Some two years ago, an agreement was reached between the Karachi Water & Sewerage Board (KW&SB) and the SITE Association of Industry along with other industrial bodies at the Governor’s House, where the governor was informed about the tariff in other parts like Hyderabad, Kotri, Faisalabad, Lahore etc.
All other cities have Rs 50/- per 1000 gallons or less, Karachi is being overcharged at Rs 222/- per 1000 gallons, 344% more than any other place in the country. Industries like, textile, beverages etc, where basic raw material is water, are already facing severe competition within the country, what to talk about international competition, Nisar said.
In this scenario, “where our exports have gone down by $4 billion, the nine percent increase might prove to be the last nail in the coffin. He pointed out that KW&SB hardly collects 40% of the amount from its consumers. “Industrial consumers have 100% payment record,” he said, and feared that the industry would not be in a position to bear this burden, and if not revised, would not be able to pay.
He asked the KW&SB to abide by the decisions taken in the Governor’s House meeting wherein it was decided to support the industry to become compatible and rates would be revised downward every year for the industry and may be revised upward for other consumers, but the decision has been ignored and again industrial consumers were subjected to increase in tariff.
Commented on OGRA’s decision for recommending 14% increase in the gas prices, he said that this was another example of step motherly treatment. As per the (OGRA) recommendation, a decrease in tariff by Rs 65.12 (13.29%) per unit for SSGC, basically for Karachi and increase in tariff by Rs 57.89 (13.71%) per unit for SNGPL was suggested.
He appealed to the prime minister, federal minister, governor, chief minister, and the minister for industries and local bodies to take notice and accommodate the industry, so that wheel of industry keeps on moving and issue of unemployment, which is already very high, may not become a big issue.