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Oil and gas firms accused of violating environmental laws
The News
Friday, January 30, 2009

Karachi
Speakers accused the oil and gas companies of not fulfilling their environmental obligations, saying initial surveys and seismic operations—blasting and drilling—are being conducted without using the guidelines of the Environmental Protect Act 1997.

Speaking at a conference on ‘Oil and Gas Exploration in Sindh: Issues in Royalty, Production Bonus & CSR’, organised by Participatory Development Initiatives (PDI) at a local hotel, the speakers pointed out that in the field, disturbance and clearing of vegetation – including cutting of trees – has been largely reported by the local communities during the seismic operations.

In the conference, chaired by Sindh Assembly Speaker, Nisar Ahmed Khuhro, the experts, through presentations, disclosed that in the seismic survey, during the offshore oil and gas exploration in different areas of Indus Delta, the fisherfolk communities largely complained of heavy blasting in the breeding season of fish and shrimps. Similarly, there have been evidences of dumping of waste and litter in the open after completion of the drilling process by the oil and gas companies, they added.

Experts also highlighted the poor regulatory systems on part of the government, saying that non-professional consultants leave enough space for companies to temper with environmental obligations and the local communities have to pay the price of poor governance.

In many cases, it was pointed out, guidelines of keeping distance of 500 meters between the camp and other human settlements are violated, as the camps are usually set-up very near to the villages. In Badin and Dadu districts, many villagers are suffering from eye infections and skin ailments due to being in close vicinity of the camps and are directly affected by the gas flaring from it. The speakers also brought to fore the issue of land degradation and non payment of proper land compensation to the owners.

Talking about Sindh, the speakers said the oil and gas companies working in the province are largely violating international and national laws including Corporate Social Responsibilities [CSR], Petroleum Concession Agreement [PCA], Petroleum Exploration and Production Policy 2007, Pakistan Environmental Protection Act 1997.

Pakistan Peoples Party (PPP) leader Taj Haider suggested the provincial government to constitute Sindh Oil and Gas Development Corporation to deal with issues related to the natural resources available in the province. Because, he added, at present all such are being made by the federal government, depriving the provinces of their share and creating uncertainty among the local communities. The legislators present there endorsed the proposal and urged upon the Sindh Assembly Speaker to take initiative in this regard. However, they were shocked when Khuhro during his speech refused to touch the issue for which legislators, intellectuals and experts were invited.

The participants recommended the government that the royalty on the oil and gas production should be directly paid to the local oil and gas producing areas and, for this, decentralised monitoring mechanisms should be developed to ensure that the communities benefit. They also urged that a new Petroleum Exploration and Production Policy should be formed in consultation with the local communities of oil and gas producing areas.

Sindh Minister Syed Sardar Ahmed, Jam Madad Ali, Dr Sikandar Mandhro, Syed Jalal Mahmood Shah, Khaliq Junejo, Naseer Memon, Zulfiqar Halepoto, Ishaq Soomro and others also delivered speeches on the occasion.

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