ISLAMABAD, Pakistan: Pakistan People’s Party (PPP) on Monday submitted a calling attention notice in the Senate against the privatization of Pakistan International Airlines (PIA) and Pakistan Steel Mills (PSM).
“During the past five years, both PSM and PIA have accumulated huge losses to the tune of hundreds of billions. The gross and almost criminal neglect in the running of these entities gave rise to speculations whether the losses were incurred by design to create justification for their sale at throw away prices,” the PPP Senator Farhatullah Babar said in the calling attention notice moved by him in the Upper House while drawing attention to decision of the Cabinet Committee on Privatization on Friday.
Senate Farhatullah Babar said that the PSM has reached the brink of precipice after it was denied gas supply since 2015 and that too at a time the production was 65 percent.
“The PIA reached the brink by a combination of factors including the absence of business plan, floating Premier Service at a loss of nearly 3 billion rupees. Highly expensive lease agreements, open skies policy without discussion, giving dozens of landing rights to one airline in one day and discontinuation of some important routes drastically reducing PIA’s market share,” Senate Farhatullah.
The PPP leader said that two facts are most pertinent; One, the recommendations of the Senate Special Committee on PIA including overhaul of Board of Directors were not implemented even though under the Rules of Business it had become mandatory on the government to implement the same; Two, the surprising timing and manner of privatization without reference to Parliament, involving conflict of interest and just when the general elections are around the corner.
