The Pakistan Economy Watch (PEW) on Wednesday said that gas companies were punishing the public with the help of the Oil and Gas Regulatory Authority (OGRA) by charging them for gas lost during distribution and theft.
In a statement issued here on Wednesday, PEW President Dr Murtaza Mughal said that OGRA has allowed gas companies to charge for 4.5 percent of their losses but now the companies are trying to push up the ratio of losses to nine percent to generate more profit for their shareholders.
“The gas companies should reduce corruption and stop penalizing the public for their mismanagement. OGRA has become a tool in the hands of some of the directors of the gas companies who are also influential stockbrokers”, he added.
He further said that enhanced ration of losses, if allowed, will hike the price of gas resulting in a wave of inflation which will hit many critical sectors of the economy. He added that almost 400 million cubic feet of gas was wasted daily in the country and the same amount was imported at a cost of billions of dollars.
He said that OGRA had been dominated by those who had put the interests of public on the backburner and is promoting the interests of the influential, multiplying the value of company shares by five times in a few months.
Those who have important positions in gas companies continue to blackmail the government over transmission and distribution, which should be stopped, he said.
“A former chairman of OGRA has increased the ration of losses from 4.5 percent to 6.5 percent, resulting in a case by the National Accountability Bureau (NAB) case and allegations of corruption worth Rs 42 billion, but this is an even bigger crime and must be noticed and stopped,” Mughal demanded.
