Vested interests

I am writing to express my concern regarding the recent media frenzy surrounding the government’s proposed reforms to phase out preferential treatment for captive power industries. It seems that these companies are desperately trying to pressure the government into abandoning this crucial step. They cite an ‘inefficient grid’, job creation, and foreign exchange earnings as reasons to maintain the status quo. However, a closer examination reveals these arguments to be largely baseless. If the grid is truly as unreliable as they suggest, how are countless other industries across Pakistan successfully operating and contributing to the economy?

It seems convenient to blame the grid when, in reality, many captive power industry owners have neglected to invest in grid-compliant plants and machinery. Their claims of running highly efficient plants also lacks credible evidence. Without independent energy audits, such assertions are mere self-promotion. The assertion that captive industries are major contributors to foreign exchange earnings is also misleading. Many of these industries are not export-oriented, and even those that are often retain their earnings outside Pakistan.

Mobashir Sandila

Karachi