Monday, February 2, 2015

Khurshid Shah to facilitate in resolving construction industry’s problems

By Abdul Qadir Qureshi
(Pakistan News & Features Services)

Syed Khurshid Ahmed Shah, a former Federal Minister and now the Leader of Opposition in the National Assembly, urged the government to provide incentives to the construction industry as it played an important role in the economic development of the country.

He made the observation while talking to a delegation of the Association of Builders & Developers of Pakistan (ABAD), led by its chairman, Junaid Ashraf Taloo, which called on him during his recent visit to Karachi. 

Khurshid Shah vowed to raise the issue of gas, electric and water connections on the floor of the house. The Leader of the Opposition promised to extend full cooperation for meeting the demands of ABAD members. 

The ABAD delegation included Vice Chairman, Mohammad Hanif Memon, Regional Chairman, Mohammad Hassan Bakshi, and members, Owais Thanvi, Rizwan Adhia, Arif Jeewa, Fayyaz Ilyas, Mustafa Thanvi, Anwar OK and Sohail Warind.. 

The ABAD Chairman pointed out that Karachi contributed 67% of revenue to the national exchequer and the construction industry was providing employment to a vast majority of people. 

Junaid Ashraf regretted that due to ban on gas connections to high rises and housing societies, the investment of billions of rupees of builders and allottees had been blocked. 

“Although Sindh is producing 70 % natural gas but the right to get gas connection in high rises and housing societies is being denied,” he said. 

The Vice Chairman, Hanif Memon, stated that moratorium on new gas connections was imposed in 2011 for a period of two years apparently to support LNG business. 

The Regional Chairman, Hassan Bakshi, reckoned that if all pending applications for gas connections of all builders of Karachi, Hyderabad and Sukkur were accommodated, the total requirement of gas will be less than 1 MMCFD. 

On the issues of K-Electric, he said that even under Self Finance Scheme, the builders have to provide a bank guarantee for which they have to deposit 100% cash margin which caused double financial burden on them. He demanded that the bank guarantee should not be more than 10% to 15% of the total amount. He also called for the reduction of tariff for TL connection.