Business

ISLAMABAD – The Pakistan Economy Watch (PEW) on Sunday asked the government to tackle gas sector circular debt before it put a question mark on the success of the energy policy.

The debt should be contained before it damages the gas sector like it has played havoc with the electricity sector, said Dr Murtaza Mughal, President PEW.
He expressed concern over the gas sector circular debt that has touched the mark of Rs 12 billion.

He said that country is already faced with a circular debt of Rs 650 billion and now Rs 12 billion of gas debt has added to it creating more uncertainty.

The government is buying LNG since April 2015 and such losses in a short span are not acceptable, he said, adding that the government has assured IMF that circular debt will be controlled but it couldn’t.

He said that a gas utility has reported a profit after three years of losses, therefore, immediate steps should be taken to streamline gas sector.

Dr. Murtaza Mughal said that government inherited circular debt worth Rs 450 billion which is not at 650 billion that means the government has added Rs 200 billion to it due which has damaged the economy.

He the energy managers whose inefficiency continue to compromise the growth of the economy. Minister of Water and Power recently slapped a ban on using imported fuel for power generation which was overthrown by higher authority.

He demanded of the government to divulge details of the deal with the Qatar Gas to bring rumours to an end.-Online