Public-private partnership for Pakistan Steel proposed

Attention: open in a new window. PDFPrintE-mail

ISLAMABAD - AHMAD AHMADANI - Recommending the government to run the affairs of state owned country’s largest industrial entity through public-private partnership to make it a profit-earning organisation, Senate body has severely criticised the decline in performance of Pakistan Steel Mills (PSM). Senate committee meeting was held here to review the situation of PSM under its chairman Senator Zafar ul Haq, who has shown serious concerns over the persistent declining status of Pakistan Steel Mill (PSM) by saying that since influential people are using the resources of PSM for their own vested interests so its position has become very critical. He asked the government to take measures like public-private partnership to make it a profit earning organization.

Chief Executive Officer Pakistan Steel Mill Shamshad Qureshi briefed the legislative body about functions and issues of the PSM. He said that imbalance in the financial affairs exists from last fifteen to twenty years and its lingering on. He said that in 2008-09 Pakistan Steel Mills received loss of Rs 25 billion and no relief was given after repeated requests. He said that government paid Rs 36 billion in last four year and this amount was paid in installments. Therefore, he said, desired results were not achieved. CEO PSM said that PSM has signed a MoU with Russian government and it is hoped that after $500 million investment situation would improve.

During the course of meeting, Senator Fateh Muhammad Hasni, while criticizing import of raw material, said that Balochistan has rich resources of iron, which can fulfil the requirements of country’s entire industry. He said with importing raw material from foreign countries, we are not only increasing extra burden on national kitty but prices of products are witnessing hike with each passing day. He was of the view that country could save billion of rupees by utilizing locally produced raw material.

“Rs 30-40 billion can be saved by utilizing local resources,” Senator Fateh Muhammad Hasni said. Senator Haji Ghulam Ali said that since Pakistan Steel Mills is giving billion of rupees loss to the national exchequer and its debt is increasing with each passing day so the government should focus on small industries of the country. He proposed the government to privatise the organization, as it is the only resolution to control its present declining status.

Senator Ilyas Bilor said that steal business is flourishing in the country while Pakistan Steel Mills is declining with every passing day. He said that fair privatization is the only solution of it.  Senator Mushahidullah khan said that government is not serious to run the institutes efficiently.

 

Courtesy: The Nation


Forex open Market rates & comments Archive

Login Form