Karachi:
The members of a Senate panel have urged the Government to accelerate their decision on the future of Pakistan’s steel factories (PSM), which has not been functional for years.
The Senate Industries and Production Committee visited the PSM on Saturday under the presidency of Senator Aon Abbas Buppi.
The Committee toured several plants within the PSM and reviewed the current challenges of the organization’s debt, payments and expenses, and listened to employee unions.
They made discussions with the president of PSM Asad Islam Mahni and other officials on important issues that face the PSM. During an informative session, Mahni informed the committee that by 2024, the mill had accumulated a total loss of RS600 billion and was paying RS20 billion annually in interest on current loans.
He said that Mills must RS89 billion to the National Bank of Pakistan (NBP), since most NBP loans have been used to cover expenses, including salaries for 934 current employees.
The officials told the Committee that the Government is considering two projects simultaneously:
One implies the resurgence of the factory using the Russian industrial firm Engineering LLC, which would use ARC and extubes for restoration.
The other project considers that the mill is withdrawn after appointing a review company to evaluate its viability.
The Committee also met with representatives of the Workers Union, who informed them of the difficulties faced by current and dismissed employees. To address his concerns, the Committee formed a subcommittee in charge of having conversations with the management of workers’ complaints.
The Senate Committee appreciated the efforts of the current management to reduce PSM expenses.
However, he expressed angry at the continuous incidents of theft within the organization and instructed the authorities to evaluate the losses incurred in such activities. He also recommended accelerating the elimination of non -functional or expired assets that are no longer operational.
The committee was informed about the arbitrary allocation of the PSM land by the government of Sindh a few years ago. He expressed concern about the allocation of 1,370 acres and 400 acres of indisputable land to local villages, stating that such cases of allocation should be sent to the Common Interest Council (CCI).
The committee toured several plants within the Pakistan steel factories and recommended that the government accelerate its decision on the future of the institution.
