AsiaNet-Pakistan Premier Editorial Content and Press Release Distribution Service
Lahore, October 06, 2012 (PPI-OT): The Governor Punjab is ready to go the extra mile for the Lahore Chamber of Commerce and Industry on all issues concerning the Federal government.
The Governor Sardar Latif Khan Khosa was talking to the LCCI Executive Committee headed by LCCI President Farooq Iftikhar, Senior Vice President Irfan Iqbal Sheikh and Vice President Mian Abuzar Shad at a reception at Governor House. LCCI former presidents Mian Misbah-ur-Rehman, Mian Muzaffar Ali, Irfan Qaiser Sheikh, former Senior Vice President Abdul Basit and former Vice President Aftab Ahmad Vohra were also accompanying the LCCI delegation.
A number of issues including energy crisis, Pak India trade, audit notices and tax system came under discussion.
While assuring his all-out support to the business community of Lahore, the Governor said that the government was alive to the energy issue and the Prime Minister’s decisions to use Thar Coal and import LNG were enough to show government’s seriousness.
He said that promotion of commercial activities is of supreme importance for economic stability in the country and the federal government has adopted a comprehensive economic policy.
The Governor said that business community was playing a very vital role in the development and progress of the country adding that the federal government attached top priority to facilitate businessmen and resolve their problems.
The LCCI President Farooq Iftikhar informed the Governor that the government has an elaborate policy framework for energy sector development. Two national energy conferences have also been held. Highest level policy and decision makers from all over Pakistan attended these conferences which formulated a consensual roadmap for tackling the crisis through better and equitable load management and greater investment. Yet the crisis is worsening.
Farooq Iftikhar said that the province has been unfairly treated on the issue of load shedding of electricity and gas. Electricity load shedding in Punjab reached up to 20 hours in most rural areas and around 16 hours in main business cities during the peak summer period.
Similarly, the industry in Punjab was supplied with gas for less than 180 days last year which was not the case in other parts of country. Shortage of gas reached an alarming level in the winter of 2011 and the repeat of same situation is expected during the coming November and February.”
“It is argued that Punjab consumes over 60% of total national power and consumes 46% of gas. This is because Punjab is the most industrial and populous province of the country and contributes almost 60% to the national GDP.
Electricity and gas load shedding has also hit the province most in terms of its capacity to produce jobs and contribute to national exchequer. Given the size of Punjab’s share in the national growth performance, if the economy of Punjab suffers the economy of Pakistan will suffer.
The LCCI President said that existing lengthy and cumbersome Sales Tax registration system needed simplification. Tax administration should be efficient and service-oriented. Tax refunds system should be improved. Audit procedures and frequency should be streamlined. The date for filing income tax returns should be extended till end of October.
Farooq Iftikhar said that recent fire accidents, collapse of buildings and loss of life raise questions about the level of health and safety standards in industry in Pakistan. Both the government and industry have a role in educating businesses on health and safety issues. Regulatory compliance in this regard is also critical for averting the repeat of recent mishaps. We request you to highlight this issue at all policy fora for timely interventions.
The LCCI President said that the present environment protection drive in Punjab is creating considerable disruption to industry and increasing cost pressures. Industry is being issued with disruptive and stringent notices by Environment Protection Agency (EPA) requiring substantial capital and operational expenditure for complex and costly environmental compliance. Instead of issuing of notices, EPA should educate industry on environment compliance.
The stringent requirement for individual affluent treatment plants should be relaxed under the prevalent situation of electricity and gas outages. Treatment Plants need uninterrupted electricity supply to grow biomass. Instead, public funding should be made available for combined treatment plants.
For more information, contact:
Shahid Khalil
Information Department
Lahore Chamber of Commerce and Industry (LCCI)
11-Shahrah-e-Aiwan-e-Tijarat,
Lahore -54000, Pakistan
Tel: +9242 111 222 499
Fax: +92 42 636 8854