Karachi, The Sui Southern Gas Company (SSGC) has suspended gas supply to Pakistan Steel Mills (PSM) following prolonged defaults on payments by the state-owned steel producer. The disruption is expected to significantly affect PSM’s operations, which have already been struggling due to financial and operational challenges.
According to officials, PSM had been consuming around 2 million cubic feet of gas per day, with monthly bills averaging Rs100 million. Despite repeated warnings and attempts to settle dues, the steel mill failed to make timely payments, prompting SSGC to halt the supply.
Industry experts warn that the suspension could have wider repercussions on sectors dependent on steel production, including construction and manufacturing, potentially leading to delays and increased costs.
Authorities have urged PSM management to resolve outstanding payments promptly to restore gas supply. Discussions between the steel mill and energy authorities are reportedly ongoing to prevent prolonged disruption.
