ISLAMABAD:
The National Assembly’s Standing Committee on Industries and Production was informed on Monday that the government intended to operate Pakistan Still Mills (PSM) on a public-private partnership in order to transform it into a profitmaking entity.
Industries and Production Secretary Aamir Ashraf Khawaja informed the committee, which was chaired Sajid Hussain Turi at the Parliament House, that the plan was to lease PSM on the pattern of Pakistan Telecommunication Company Limited (PTCL).
He said that the PSM was making an annual loss of around Rs20 billion, adding that around $1 billion investment was required to upgrade and operationalise PSM.
Briefing the committee, Adviser to Prime Minister on Commerce Abdul Razak Dawood said that the government has been incurring the losses of PSM for the past many years.
“PSM has remained closed for the last five years. A detailed investigation was conducted in order to take stocks of the conditions of existing machinery while estimations were made regarding the dysfunctional and working units,” he informed.
The PM’s adviser said that the government refrained from appointing any chief executive officer at the PSM in order to avoid further financial burden, adding that the mill has a capacity to produce about 1.1 million tonnes of steel per year.
“The production capacity could be increased to three million tonnes if a strategic partner is involved to run the mill on public-private partnership,” he added.
Dawood said that three options were discussed to revamp the steel mills, including privatization of the mill, running it under government control and finding a suitable partner to engage in public-private partnership.
He said that several foreign companies from China, Russia and Korea had expressed their keen interest in running the mill the public-private partnership mode.
Speaking on the occasion, MNA Asif Ali Zardari suggested the committee to take the Sindh government on board in order to create a win-win situation for both the federal and the provincial government.
He asked for finding a Chinese company as a partner in this regard, as they (Chinese companies) have a potential to transforming PSM within a short span of time.
Members of National Assembly Riazul Haq, Rana Muhammad Ishaq Khan, Mahar Irshad Ahmed Khan, Shandana Gulzar Khan, Sajida Begum and senior officials of the Ministry of industries and Production were also present on the occasion.
profitmaking entity.
Briefing the committee, which was chaired Sajid Hussain Turi at the Parliament House, Adviser to Prime Minister on Commerce Abdul Razak Dawood said that the government has been incurring the losses of PSM for the past many years.
“PSM has remained closed for the last five years. A detailed investigation was conducted in order to take stocks of the conditions of existing machinery while estimations were made regarding the dysfunctional and working units,” he informed.
The PM’s adviser said that the government refrained from appointing any chief executive officer at the PSM in order to avoid further financial burden, adding that the mill has a capacity to produce about 1.1 million tonnes of steel per year.
“The production capacity could be increased to three million tonnes if a strategic partner is involved to run the mill on public-private partnership,” he added.
Dawood said that three options were discussed to revamp the steel mills, including privatization of the mill, running it under government control and finding a suitable partner to engage in public-private partnership.
He said that several foreign companies from China, Russia and Korea had expressed their keen interest in running the mill the public-private partnership mode.
Speaking on the occasion, MNA Asif Ali Zardari suggested the committee to take the Sindh government on board in order to create a win-win situation for both the federal and the provincial government.
He asked for finding a Chinese company as a partner in this regard, as they (Chinese companies) have a potential to transforming PSM within a short span of time.
Members of National Assembly Riazul Haq, Rana Muhammad Ishaq Khan, Mahar Irshad Ahmed Khan, Shandana Gulzar Khan, Sajida Begum and senior officials of the Ministry of industries and Production were also present on the occasion.
The National Assembly’s Standing Committee on Industries and Production was informed on Monday that the government intended to operate Pakistan Still Mills (PSM) on a public-private partnership in order to transform it into a profit making entity.
To makes operational PSM is very impressive action / thought of IK’s Team. Such PSM is very big Business elephant and every corrupted ones (People) have an eyes on it and would like to make it their personal property and desire to earn unexpected personal revenue from it rather than to GoP.
If, It is become operational than very soon Pakistan’s debt burns will converted into NIL (Insha Allah)
Out of three options, most powerful tool to be selected by GoP,which is even beneficial from national and country.
Really, Chinese company /Russia & Korea have great potential to transforming PSM within a short span of time