Cabinet allows operation of two fertilizer plants

The federal cabinet has allowed two fertilizer plants M/s Fatima Fertilizer (Sheikhupura plant) and M/s Agritech to start operation during winters on rotation basis.

The operation of these two plans had stopped after Petroleum division refused to provide gas to the fertilizer plants during winter season. But during the recent meeting the case of these two plants was presented in front of the cabinet committee. The stance of the fertilizer plants was that stock projections suggest a dip in the buffer stock of fertilizers. Two additional weeks of gas supply to the two units namely Agritech and FatimaFert would ensure sufficient buffer stocks. But the Petroleum Division stated that it cannot commit any gas on firm basis, but would try to provide upto 30 mmcfd as long as weather permits and industries Division can operate the plants on rotation.

During the meeting the curtailment plan for gas was also revealed which is that CNG stations will be curtailed first thereafter, Captive Units of non-export industry will be curtailed. Then the, general industry will be curtailed for one day a week and finally, in case the measures do not suffice, captive units for export sector will be curtailed.