SSGC taking bids to procure LPG for remote consumers

KARACHI: Sui Southern Gas Company (SSGC) has invited bids from international suppliers to procure 3,000 metric tons of liquefied petroleum gas (LPG) as the utility geared up efforts to provide the low-pressure fuel across remote and hilly areas, reported The News.

A document said SSGC invited bids from international suppliers for the provision of 3,000 metric tons of LPG on cost and freight basis in two parcels of 1,500 metric tons each, as the gas utility intended to supply synthetic natural gas as an alternative to piped gas. The bids will be opened on December 3, 2019.

According to the report, SSGC is setting up LPG air mix plants in remote areas of Sindh and Balochistan where conventional pipelines could not be laid. LPG is mixed with air to produce synthetic gas for onward supply to the consumers through distribution networks, like natural gas.

Gas shortfall in the country is estimated to jump by 157 percent to 3.7 billion cubic feet per day (bcfd) in the current fiscal year of 2019/20. Total 700,000 consumers were added last year. The estimate has been made by the Oil and Gas Regulatory Authority that put the gas shortfall increasing almost continuously every year to 6.6bcfd by FY2028.

The Economic Coordination Committee of the cabinet directed SSGC to expand setting up of air mix plants in every district of the country.

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