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Gas utilities live up to the hype

Gas utilities live up to the hype

Conversation with Syed Imran Ahmed — Chief Manager, Corporate Communications, SSGC


Profile:

Syed Imran Ahmed is the Chief Manager at SSGC’s Corporate Communication Department where he is also the section head of advertising, publications and events. An MBA from IBA Karachi and a Master in International Trade from Melbourne University, Mr. Ahmed is also the Visiting Faculty at the Institute of Business Management (IoBM). He regularly writes in the top publications on energy and business-related topics. Mr. Ahmed is a content developer for a number of social media pages.


Pakistan & Gulf Economist had an exclusive conversation with Syed Imran Ahmed about LPG – an alternative fuel option this winter.  Following is what he said:

The year was 1969. The then Karachi Gas Company published a print advertisement that proclaimed, “Sui Gas is always there whenever you need it. All you have to do is to turn on your tap and you get instant, smokeless fuel with an inexhaustible (gas) supply.” Fast forward to 2022 and we find ourselves in a middle of a totally different energy scenario. Gas production in Pakistan has declined over the years due to the natural maturation or depletion of fields that are owned by exploration and production companies. Every year, gas is being depleted at a rate of nearly 10%, resulting in a widening demand and supply gap.

The gas crunch is felt most during winter seasons when space and water heating needs to increase manifold. For instance, last year, while demand for gas increased substantially, supply from the upstream companies slid to 950 mmcfd in SSGC’s system. This year, gas supply further went down to 870 mmcfd, resulting in a shortfall of 80 mmcfd, when compared to last year.

In order to ensure a reasonable volume of gas supply and pressure for its domestic customers during cooking hours, gas utilities carry out gas pressure management in their franchise operational areas.

Take Sui Southern Gas Company or SSGC for instance, which carries out pressure management in its franchise provinces of Sindh and Balochistan, particularly during the nights when people consume minimum volumes of gas. Managing pressure helps to build SSGC’s line pack (volume of gas in the system), thus facilitating customers to get enough pressure during the cooking hours throughout the day. Particularly during winters, SSGC implements the Government of Pakistan’s Gas Load Management Plan to ensure that domestic and commercial customers that are on top of the plan’s priority list, get gas on a regular basis to fulfill their needs.

Alternative route

Despite efforts taken both by the Government of Pakistan (GoP) and SSGC, gas remains in short supply and this scenario will persist during the upcoming winter season. SSGC has always been mindful of the fact that in the wake of declining reserves, the presence of alternative fuels such as Liquefied Petroleum Gas (LPG) is vital for fulfilling growing consumer needs.

Discovered in 1912 by Dr. Walter Snelling, an American chemist, LPG, for all intents and purposes is a reliable, secure, affordable and environmentally friendly energy resource.

Knowing that with the drop in mercury, demand for gas will increase extraordinarily, both SNGPL and SSGC are encouraging their customers to purchase imported LPG cylinders to overcome impending gas shortages and meet their cooking and heating needs without any difficulty.

SSGC-LPG (Pvt) Limited (SLL), SSGC’s wholly-owned subsidiary company has been marketing and distributing LPG since 2011 by operating a dedicated open-access LPG Terminal with storage facilities at Port Qasim in Karachi to efficiently handle LPG imports, In line with the directives of GoP. SLL is planning to import 20,000 metric tons per month of LPG in the upcoming winter. Also, this year, SLL has enhanced the import of LPG cylinders to fulfill rising domestic needs and in initial phases plans to float 100,000 cylinders in Pakistan’s northern and central regions.

SLL’s efforts to alleviate the gas crisis recently helped to anchor in at its terminal at Port Qasim, 8,500 metric tons of LPG in early November followed by another huge consignment of 9,375 metric tons. The Company is also making all efforts to shorten the response time for delivery of cylinders to the end customers through a virtual online hassle-free mechanism.

Why LPG?

Over the years LPG has proved to be an excellent option for our households on account of three main reasons. Firstly, it is a more-calorific valued, energy-efficient fuel that undergoes complete combustion, creating no residue in the process. Secondly, it is a fuel with low emissions, low Sulphur content and more energy value than other fuels and third, it can be stored in cylinders for longer time periods without any spillage that makes it accessible to the customers.

Strong USPs

But why use SLL cylinders? SLL delivers energy-efficient cylinders that provide a much superior quality LPG than local competitors. This winter, SLL will deliver energy-efficient LPG cylinders especially to cater to those SSGC’s customers who are located at the tail-end colonies of SSGC’s distribution system and face severe issues of low pressures of indigenous gas. These LPG cylinders along with SLL’s services are unique in their own way and different from other available resources in the market as they are specially designed for households and also come in blast-free fiber-glass cylinders. They are quite affordable and more economical than the market price as they are marketed at OGRA’s determined rate. These cylinders are lightweight, non-corrosive, environment-friendly, refillable with guaranteed full quantity and are available in various sizes.

SLL not only offers free home delivery of these cylinders in 4 to 6 hours in all areas, especially in tail-end colonies but also charges a reasonable amount on the first installation.

Ensuring speedy delivery

Necessity and adaptability are cornerstones in every crisis situation. From a distribution point of view, SLL has channelized its energies to ensure quick delivery of LPG to customer’s doorsteps, with every user having a facility of placing orders online through  www.ssgclpg.com.pk/order or by calling SSGC’s 24/7 operational helpline.

To further speed up delivery time, SSGC has made necessary arrangements to provide ample space to SLL in its different premises spread over Karachi for stocking their cylinders. This would ensure a prompt supply of LPG in the tail-end localities of the metropolis.

At the same time, SSGC is running an aggressive awareness campaign to provide customers with complete details about order placement options as well as about safety precautions that are required while consuming LPG, especially in the kitchen.

SSGC’s commitment towards providing an alternate fuel source such as LPG in the wake of diminishing gas supplies goes hand in hand with a business model that mainly revolves around alternate energy projects such as renewable or environmental-friendly fuel like biogas/biomethane, electricity generation from thermal energy, futuristic energy projects like coal to gas production and hydrogen production.

Winter is sure to get difficult with every passing cold wave spell. Trust our gas utilities to manage the gas load to make gas available to its top priority domestic customers especially during cooking hours, while at the same time making LPG available through SLL, especially to its tail-end customers.

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