profitepaper pakistantoday 09th april, 2012

PRO 09-04-2012_Layout 1 4/9/2012 12:16 AM Page 1

Govt clutching at straws over wheat production Page 02

profit.com.pk

Monday, 09 April, 2012

ENERGY CONFERENCE

KCCI wakes up and smells the coffee... and a rat KCCI not consulted over National Energy Conference Approaches PM over matter Sindh businessmen sceptical about the conference g g

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COMMENt KARACHI STAFF REPORT he businessmen of Sindh specially Karachi led by Karachi Chamber of Commerce & Industry (KCCI) have approached Prime Minister Yousuf Raza Gilani against the forth coming energy conference while showing their serious concerns about the conference and its apparent objectives.

Showing deep reservations and concerns regarding the energy Conference which has been scheduled to be held in Lahore on April 9, 2012, KCCI, in letter sent recently, has informed the Prime Minister that firstly, this was being held at a very short notice and the business community of Sindh has not been taken into confidence nor invited to participate in the prior and preparatory deliberations of the conference. Also the objectives and some Agenda components unfortunately carry negative connotation. “We are apprehensive that this debate being undertaken in the background of Government of Punjab sponsored “energy riots” in Punjab may add fuel to the fire and may accentuate the ongoing attrition amongst a range of stakeholders especially amongst the federating units. This, at this point in time, will not augur well for the political and economic well being of the country”, it said. According to the letter the main objectives of the conference especially the objective at “b” states, “Develop consensus on fair, equitable and transparent distribution of available energy among the federating units” This objective denotes that the current distribution is probably inequitable and not transparent whereas in reality the distribution of energy is being undertaken in accordance with the Constitution of Pakistan. hence putting out such an objective in itself tantamount to questioning the basic parameters and framework enshrined under the Constitution of Pakistan.

It is extremely important to put across some fundamental facts before the honourable Prime Minister relating to current energy crisis The existing electricity shortages to a large extent have accentuated because of shortage of ‘Gas’ as such it is important to explore how these shortages have happened.

The country is presently producing

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approximately 4000 MMCFD of Gas from all Gas Fields compared to 3800 MMCFD in 2008. hence there has been a definite growth in supply of Gas. What has caused the shortages is basically the manner in which it has been used in last few years.

SNGPL in last four years has laid out around 36000 km of additional Gas Pipelines for supply of about 750 MMCFD of Gas to multiple entities especially the rural villages, CNG stations and also to some big consumers.

The Federal Ministry of P&NR and SNGPL were aware that there are likely to be Gas constraints as such the Supply Side should have been more responsible and undertaken after due diligence and examination of pros and cons. To us, this frugal and irresponsible “Supply of Gas” by the SNGPL is one of the root causes that has led to severe Gas shortages in last over a year which in turn has impacted the power supply as well.

Gas companies are allocated fixed Quotas. It is SNGPL, who in 2008 started allocating new Gas connections exceeding their allocated limits. In the same period SSGCL entertained only 150 MMCFD additional Gas connections in a very conservative and cautious manner. It is important to mention that as of today SSGC has a backlog of applications for more than 350 MMCFD, which in turn can generate 150,000 new direct employments and numerous indirect jobs. In case SSGC and Government of Sindh had not taken a cautious stance and additional connections would have been given to generate more employment then the situation in Sindh could have been the same which prevails today with SNGPL. hence in all fairnss Sindh has sacrificed its progress at the cost of ‘National Interest’. It is also a fact that Sindh Government has developed Industrial estates which are not yet colonized due to paucity of Gas. There are 1000 plots in SITe-II, & huge number of Plots in Port Qasim, and many in Textile and Garment City awaiting Gas connections.

Critical question is “Can Sindh be penalized for being circumspect and informed and adopting policy of connections keepiong in view the supply side?” In case Government of Pakistan does not acknowledge the rational attitude the tendency for irrational decisions will take root.

Sindh provides 72 percent of Gas and it has a Constitutional Right under Article 158 of the Constitution over its use. This

is explicitly provided and it will be very unethical to challenge this provision relating to the right of the province where such resources lie.

Despite this clear provision under the basic charter, the distribution of Gas over the years has always been undertaken ‘fairly’ and in the overall interest of the country. hence despite, the Article 158, Karachi faced severe shortages of Gas in last winter and there was continuous load shedding from November-2011 to March2012 which impacted Industry and KeSC. Agenda Item I: Generation Distribution and Conservation - In the Agenda relating to Group I, there is an item ‘f’ saying ‘Is there a case for continued supply to privatized KeSC from NTDC system when load shedding in Karach is 2-3 hours but in rest of country is 12-16 hrs”. This is an unfortunate Agenda and it reflects upon the mind set and the basic agenda of the conference organizers.

The facts are that KeSC is an Independent Private Company and it is being given 650 MWs of electricity from the Country’s hydel Resources so that it receives same ‘energy Mix’ as being distributed to other entities. This again is a constitutional matter and by questioning this, the draftees of the Agenda probably wish to deny the economic & financial hub of the country the same ‘energy Mix’ as available to other cities. The less hours of load shedding is an outcome of ‘electricity Management’ by KeSC as it allocates energy to its ‘paying clients’. This efficiency is sheerly on account of “KeSC Management” rather than on account of taking away any other federating units share. hence by incorporating such unconstitutional items, the entire framework of this conference and its objectives have become seriously tainted and malafide.

In our view, this conference is unlikely to yield any worthwhile results and will only breed further difference especially given the current political climate in the province of Punjab.

In this background, it is sincerely recommended that instead of reopening and questioning issues settled under the Constitution of Pakistan, the Government should concentrate on “Resolving’ the major bottlenecks and move ahead and take strategic decisions required to bring more energy on the grid and by taking the required reform and governance actions for containing

losses, and leakages.

Some energy ‘doables’ in the short to medium run can be: - Undertake urgent exploitation of “Indegenous Resources’ which can quickly relieve the pressure on the expensive imports of oil and the fast depleting Gas reserves.

GoP is presently importing 6 million tons of coal. KeSC & PePCO have already finalized projects for converting their Power Plants from Gas/Oil to Coal. This will increase the imports of coal to over 22.0 million tons within next one year or so. GoP can save oil and coal imports by facilitating the Government of Sindh in undertaking speedier actions at Thar Coal Mining.

GoS needs to be encouraged to undertake Minning through its Own Resources for establishing a ‘Washing & Bricketing Plant’. Such facility alone can provide a massive saving of Gas which can be diverted to Industry. Cheap supply of fuel to Power Plants will help in bringing down electricity prices considerably.

Provinces must be encouraged to make investments in Re projects especially Wind, Small hydro, Solid Waste and Sea-waves/Tidal energy projects. WB / ADB may be requested to help provinces to build capacity on Re projects.

Policy be framed on “OFF GRID” solutions for villages and separte settlements like one under taken at Surian Cantonment RYK urgently so that valuable Gas resources / electricity is conserved for profitable and economic requirements of the country.

Transportation can only be subsidized by revitalizing Pak Railways and bringing in LRT in mega cities, rather than allow precious Gas resources use in CNG. Things will become better during summer and Insha Allah after commissioning of new Gas Fields including Kudan Poshaki, Sanjhero, Sawan, Latif, Reti Maroon, which will add approximately 350 MMCFD of additional gas to national bulk.

There is complete consensus that it is primarily on account of lopsided priorities, poor management and massive leakages and lack of accountability which are the primary reasons for dearth of energy in Pakistan.

There is an urgent need to put in place an Action Plan rather than politicize and create further attrition. A collective national effort is needed to face the challenge. Prompt measures need to be taken by the government instead of opening up contentious debate.

Oil troubles T

he recent oil price drama – steep rise, angry protest, marginal correction – was amusing, to say the least. Ditto for the fortnightly check. The simple fact of the market is that oil will remain elevated for at least the foreseeable future. And considering our overwhelming reliance on imported energy, domestic prices will also keep rising. So if last week’s antics were anything to go by, the run-up to the general vote will be anything but smooth, something the PPP setup no doubt realises well.

Interestingly, the strong bid in international oil is being factored in despite no justifying demand-supply dynamics. europe is wrecked by the sovereign debt crisis, China is slowing, Indian manufacturing is hemorrhaging, emerging market growth is fizzling out and even encouraging numbers from the US are proving shady at best. Left to market mechanism, oil would be no higher than the $80 per barrel, if not lower.

The $30 odd excess is a testament to the risk premium associated with political tension in the Persian Gulf, particularly the Iran’s standoff with western powers. It is a glaring example of how countries that depend too much on imported fuel lose out because of developments they have practically no control over.

Of course, the problem is compounded when the current account situation is cause for serious concern (because of rampant corruption involving but not limited to some of the highest offices in the government). how the government postures will prove the litmus test for its sense of commitment with the people.

Prudence dictates that it immediately draw viable options, ranging from ensuring sustained supplies – it will help to settle futures contracts while the market is still in backwardation – to reducing long term reliance on imported oil. The latter will need exploiting indigenous hydel, gas and coal reserves – a long drawn exercise, but it must start somewhere. For the immediate term, though, there is little relief. Oil will continue to rattle both our brains and our pockets.

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PIDA to ensure farmers’ organisations don’t go down the drain Seeks to amend rules for organisations and area water boards g Vies to channelise canal water distribution g

LAHORE STAFF REPORT

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Govt clutching at straws over wheat production ISLAMABAD

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ONLINE

he government estimates wheat production amounting to 24.02 million tons this year fairly sufficing country’s annual requirement of noting less than 24 million tons, an official told Online on Saturday. however, he informed that there was no risk of shortage of the commodity in the country as the sufficient stock of carry forward available collectively with the provincial and federal government. The official underlined the fact; net production is fell down slightly against its target of 25 million tons due to certain factors and the major reasons are shortage of fertilisers and water scarcity.

When in this regard contacted Federal Secretary Shafaqt hussain Naghmi,he told Online that this year entire wheat production of the country is yet to be estimated, however, in Punjab wheat production was

estimated around 18 million tons and waiting for other provinces assessments.

“Wheat harvesting is going to start from mid April in Sindh and in the end of this month or in the beginning of next month in Punjab,” the federal secretary said, adding that this year wheat requirement is expected to remain about 24 million tons in the country. While talking to Online Muhammad Ibrahim Mughal, Chairman of Agri Forum Pakistan said that wheat production target was set 25 million tons for this year but the output could be around 23 to 23.5 million tons. he said the country had 4 million tons of carry forward stocks and demanded that government should allow 1.5 million tons wheat export to Iran from fresh stock under barter trade system and in return Petroleum products should be imported. “This year Punjab should procure 3 million tons wheat from farmers while Pakistan Agriculture Storage and

Supplies Corporation (PASSCO) and Sindh 2 and 1.5 million tons respectively,” he added.

According to the uS Department of Agriculture report, Pakistan’s wheat production for the year 2012-13 is estimated at 23 million tons which shows down five per cent relative to previous year’s record harvest of 24.2 million tons.

The economic Coordination Committee (eCC) of the Cabinet has already approved the purchase of 7,700,000 tons of wheat from farmers.

The eCC on Friday was of the consensus that the provinces have the inalienable right to lift the wheat but the debate went on the extension of credit cash guarantees to the provinces on the amount of purchasing wheat after the increase in the support price of wheat from Rs.950 to 1050.

It may be recalled that after the due process of devolution the provinces were allowed to lift the wheat to maintain strategic reserves.

uNjAB Irrigation and Drainage Authority (PIDA) has decided to amend the rules for farmers organizations and area water boards and send these to the provincial government for approval.

These farmers’ organizations and area water boards were constituted by the Authority and amendments are aimed at to ensure justifiable distribution of canal water among the growers and resolution of different issues being faced by the farming community at local level.

Decision to this effect was taken at the 43rd meeting of the Authority held here on Friday with the Punjab Irrigation Minister Malik Ahmad Ali Aulakh in the chair.

LCCI gnashes its teeth and gives ECC an earful Flays fuel fixation formula g Repeats ‘lack of incentives for trade and industry’ rhetoric g

LAHORE STAFF REPORT

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he Lahore Chamber of Commerce and Industry Saturday flayed the economic Coordination Committee (eCC) decision to revise fuel prices every fifteen days and urged the government to implement policy of quarterly review of petroleum prices.

In a statement issued here, the LCCI President Irfan Qaiser Sheikh termed the eCC decision an inflation-push formula that would crush the entire economic activity to the extent therefore it would be wiser on the part of the government if the prices are reviewed after every three months. The LCCI President was of the view that at this point in time when the energy-related

Mairaj Bibi and her struggle to defy the odds

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he micro-credit movement across the globe is not simply about money but rather using the money to achieve its respective end. When in the right hands money has the power to liberate the enslaved, to unleash the horizon of dreams and when not in the right hands, has the potential to unleash nightmares. Lessons in economics teach us that for there to be an effective demand the consumer must be willing and capable of purchasing the product. Merely willing but not backed by a capacity to do so is not sufficient to create effective demand. In Pakistan, the importance of the SMe sector cannot be over-emphasized since it comprises of almost 90 per cent of all enterprises currently operational in Pakistan. There is no dearth of talent in the country however the talent must be backed by money to tap its

true potential. With millions of people living below the poverty line, Khushhalibank with its microfinance programmes has been able to touch the lives of thousands of people across the country. The success of the bank can be ascertained from the fact that it has now developed a large customer base in the poorer districts of the country while the recovery rate of the institution remains above 95 per cent.

One such person who has been able to stand proudly on her feet with the help of the microfinance programme is Mairaj Bibi.

As a divorcee and a single parent of a young boy, Mairaj Bibi residing in Sahiwal aged 53, lived through limited resources and barely any support from her relatives. however, her drive and determination to overcome her difficult circumstances led her to fulfill one of her many dreams of opening a small Karyana store. With absolutely no working capital, she mortgaged her jewelry to a local

decided to send the case of 15 percent adhoc relief allowance of the employees to the Chief Secretary Punjab.

The meeting also recommended for providing funds required for completion of under construction building of area water boards on lower Chenab Canal system.

Speaking on this occasion, the Punjab Irrigation Minister said that the present government was striving to facilitate the growers at every level and inclusion of growers in canal system was a part of those efforts. he urged the farmers to play their role in improving the shared-canal system so as to ensure justifiable distribution of water and provision of water to growers at the tail of any canal system. he also called for taking solid steps to check water theft and recovery of water cess.

ANGRY BIRDS

Entrepreneurial spirit ALI HAIDER

The meeting was given a briefing about the performance of farmers’ organizations set up in area water boards constituted on big canals.

Different proposals were submitted in the meeting to make these organizations more effective and active. It was proposed that duration of these organizations should be increased to five years from three years, 0.5 per cent increase in funds for elections of area water boards and holding elections of all members of an area water board on same day.

The meeting was informed that Authority would keep any newly formed grower organization in Category-B and promote it to category-A on showing good performance. Nevertheless, poor performers would remain in Bcategory for another year. The meeting also approved the annual PIDA budget for year 2011-12 and

money lender and managed to get some money to start her business.

Initiated with ten profitable product lines she consequently managed to get a quick return on her initial investment.

Moreover, her professional conduct, regular timings, dealing in high quality items and concentrating on limited product lines resulted in high sales for the entrepreneur. A month into the business, she was quite confident and financially sound to add further product lines in her small shack store. having met some

street protests, industrial closures and resultant massive lay-offs are order of the day, the eCC should have weighed options and methodologies to bring economic normalcy in the country but unfortunately it had done the other way round.

Irfan Qaiser Sheikh said that the Lahore Chamber of Commerce and Industry has repeatedly appealed to the government to announce special incentives for the trade and industry to rejuvenate economic activity in the country but nothing like that has taken place so far. The LCCI President said that the implantation of eCC new fuel fixation formula would create multiple problems for the trade and industry as business community would not be able to calculate return on investment when the cost of doing business

vendors, she added twenty product lines on a fifteen day credit system.

Within three months she was able to get good returns from the business, yet it was not very profitable since a major portion of her profit was being consumed in paying interest to the local vendors. At that time, she was taking loans on two hundred and fifty per cent rate of interest from various sources, including family members, and a local money lender. This posed a great danger to her business.

Thus, she continued searching for some reasonable source of financing for her business and her quest finally ended when she heard about Khushhalibank’s micro loans on much feasible interest rate, which she availed in no time.

Now after five years in the business,

A woman is not made for defeat; women can be destroyed but not defeated

would be fluctuating every fifteen days.

Irfan Qaiser Sheikh said that it is common phenomenon that in unusual circumstances, routine working methodologies are shelved and special measures are adopted to get rid of economic meltdown but in Pakistan adhocism in policy making has taken deep roots. The LCCI President said that Pakistan had already lost a number of international markets and the economic Coordination Committee decision would make the Pakistani goods more uncompetitive. he demanded that the new fuel price adjustment formula should also be revamped as it is bound to hit the millions of consumers hard.

Irfan Qaiser Sheikh said that the economic Coordination Committee should consult the business community before making any business-related decisions as it is the real stakeholder.

she has transformed her shack store in to a well furnished one, with more than a hundred quality product lines.

She has increased her daily sale from Rs400 to Rs3,000. Presently, she is running a sound and well managed Karyana store which she dreamt of a couple of years ago. She is very pleased with life and her son now goes to a good school in the city. “A woman is not made for defeat, women can be destroyed but not defeated,” she says as she continues to make plans for expanding her business.

Mairaj Bibi is a glaring example of the sheer will and determination of the women of Pakistan who are willing to fight against heavy odds. expanding her business and working with an employee of her own, she continues to believe that there is more yet to come. her future plans entail opening another small store in her village while simultaneously providing the residents of the locality with the facility of having their products delivered at their doorsteps. “A woman is not weak, she is not fragile and her spirit cannot be suppressed even if she is shackled in chains.”

Instead of accepting defeat, Mairaj Bibi transformed the defeat into an opportunity that will transform her life and that of her children.

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Monday, 09 April, 2012

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What should the World Bank do?

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JOSE AntOnIO OCAMpO

have been honored by World Bank directors representing developing countries and Russia to be selected as one of two developing-country candidates to become the Bank’s next president. So I want to make known to the global community the principles that will guide my actions if I am elected – principles based on lessons learned from development experience.

That experience has taught me that successful development is always the result of a judicious mix of market, state, and society. Trying to suppress markets leads to gross inefficiencies and loss of dynamism. Trying to do without the state leads to unstable and/or inequitable outcomes. And trying to ignore social actors that play an essential role at the national and local levels precludes the popular legitimacy that successful policymaking requires.

Indeed, the specific mix of markets, state, and society should be the subject of national decisions adopted by representative authorities. This means that it is not the role of any international institution to impose a particular model of development on any country – a mistake that the World Bank made in the past, and that it has been working to correct.

Because no “one-size-fits-all” strategy exists, the Bank must include among its staff the global diversity of approaches to development issues.

Development is a comprehensive process that involves economic, social, and environmental dimensions – the three pillars of sustainable development.

And, frankly, I have concerns about some of the World Bank’s views and priorities in recent decades.

For example, while the Bank has made important contributions to the nurturing of deep financial sectors, it still has much to learn about financial inclusiveness and the role that well designed development banks have played in fostering sustainable and inclusive growth in countries around the world. We should never forget, in this regard, that the World Bank is itself a global public-sector development institution.

The Bank contributed significantly in its early decades to the development of high-quality physical infrastructure, a critical area that, unfortunately, was later marginalized. The return of this issue to the center of the Bank’s focus is a welcome development.

Above all, I believe that economic development should be viewed as a process of persistent structural change, which, if successful, supports constant technological upgrading of production and trade.

This approach was central to the World Bank’s activities up to the 1970’s, and, while it has been partly revived, it is still far from being incorporated into the Bank’s operations.

The goal of development is greater and more equitable human welfare. human development is about much

Protesting promotions LAHORE

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MPLOyeeS of the Regional Tax Office (RTO) Lahore continued pen down strike on the second consecutive day against the proposal of promotion of senior auditors as Assistant Commissioner (Inland Revenue). Federal Revenue Alliance (FRA) employees union President Mian Abdul Qayyum led a demonstration in front of the RTO here on Saturday to condemn the decision which according to them would stop the promotion of income tax (Inland Revenue) employees. Participants of the demonstration were demanding immediate withdrawal of the proposal claiming that it was also not agreed by Member Inland Revenue and Member Legal FBR which was the basic requirement before sending the case to Ministry of Finance. Their other demands included that the Carrier path in the services must be properly followed and in this respect the senior auditors be asked to file surety bonds/affidavits so that they would not file any case in the courts later on against this career path defined already. Two orders i.e. putting Sr. Auditors as unit In charges and the other one designating them as Assistant Commissioner Inland Revenue (OPS) be withdrawn immediately. An Inland Revenue Officer must be posted as Member (Admn). Inland Revenue Officers and Inspectors Inland Revenue be also upgraded to BS -17 and BS – 16 respectively.

CORPORATE CORNER Servis launched new campaign for its brand LIZA

This approach also applies to the environmental pillar of development: intervention to counter damage generated by the economy is not enough. environmental concerns must be fully assimilated into economic policymaking – that is, into the incentive structure that drives decisions. Only then can economic development be made compatible with the contributions that developing countries must make to mitigating climate change and preserving our planet’s remaining natural forests and biological diversity.

The World Bank’s capacity to contribute to achieving these goals depends on it remaining a true global institution with a special responsibility vis-à-vis the world’s poorest countries and a commitment to helping middleincome countries face their own challenges. It must count on the vision and contributions of more advanced nations, as well as those of emerging powers. And it must do so as part of the system of global governance, strengthening its cooperation with other multilateral organizations, in particular those in the united Nations system and regional and subregional development banks.

These are the development principles and priorities for which I stand. If elected to head the world’s leading development institution, I will work with all of its members to fulfill them.

A version of this article was first published in Project Syndicate

ICCI eyes a scrumptious slice of the budget pie g

STAFF REPORT

more than the generation of human capital: it is essentially about expanding the scope of human freedom. And that can be achieved only with universal education, health care, and social protection.

Targeting can be a useful instrument of universal policies, but it can never serve as a substitute for them. Likewise, social protection goes beyond the narrow concept of the “social safety net” that has dominated debate in recent decades. The concept of the “social protection floor,” recently proposed by the (produced by the International Labor Organization under the leadership of former Chilean President Michelle Bachelet) provides better intellectual grounding. equity and inclusiveness require placing the advancement of the poor and other marginalized groups at the center of development specialists’ concern.

In particular, gender equality deserves special attention, an approach that the World Bank today rightly characterizes as smart economics.

Guaranteeing these objectives is not just about compensating for market outcomes and social forces that generate or reproduce inequalities. It is also about incorporating these objectives into economic policymaking, by placing the creation of fulfilling jobs and well-developed welfare institutions at the center of the economic agenda, and by respecting the role of cultural diversity in economic development.

Wants allocation of sufficient funds for energy projects ISLAMABAD APP

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uFFICIeNT funds should be allocated in the forthcoming budget for energy projects and construction of dam and water reservoirs to tackle the energy shortages. “Besides this, the government should initiate various power projects to bridge supply and demand gap as it is high time to develop all available energy generating resources including hydel, thermal and wind to end the energy crisis”, yassar Sakhi Butt, President Islamabad Chamber of Commerce and Industry (ICCI) made these remarks during a meeting held here. he said that the industrial sector could not wait for long and the government should present quick solution to fill in the gap between demand and supply of energy. he said that Government should allocate more funds in upcoming budget for tapping

Thar Coal potential because these reserves could play a pivotal role in meeting energy crises both in long term and short term which would enhance industrial competitiveness due to cost effectiveness. yassar Sakhi Butt said that Government should also strive hard to attract foreign investors by giving them lucrative incentives to invest in energy projects in Pakistan, aiming to bring down expensive oil-based energy generation in the country. he said that Pakistan’s electricity demand was increasing by 7 per cent annually and allocation of small amount of funds in last year budget 2011-12 for new dams and water reservoirs were insufficient.

ICCI President said that high power tariff, a burden on businesses and consumers, could be reduced by utilizing the available water resources more efficiently as the water is the most viable and cheapest way to produce electricity.

International Calling House – A name that grey trafficking operators fear ISLAMABAD

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ONLINE

N an apparent bid to save more than Rs 70 billion and to control grey trafficking by telecom operators, the government has decided to establish “International Calling house” in the country.

Officials sources in the Pakistan telecommunication Authority (PTA) said that earlier no mechanism exist in the country to determine the incoming to different operating networks in the country.

The sources also said that due to certain flaws in the existing system

of telecom authority operators were free in their world and wrong figures were given by telecom companies to Telecom authority pertaining to the incoming calls they receives.

Sources informed that traffic of incoming calls from national and international networks remain high but companies did not presented the actual details of their incoming and outgoing calls from local and international levels.

“If a company receives hundred incoming calls from local and international networks, then it shows fifty incoming calls while details about else calls were kept

secret and complete details were not provided” sources informed.

Due to flaws in determination system of PTA companies pays half of the amounts to government and according to sources annually government faces loss of more than seventy billion rupees.

Keeping in view the whole situation government has decided to establish international calling house in PTA to undertake all such issues.

Sources further informed that after the formation of International calling house in the country price variation among different companies would also be removed

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and same rates would be fixed for all the telecom operators in the country. After removal of price variation calling rates would be stable for about three years. After formation of international calling house authority would be able to monitor the entire business of the companies and billion of rupees would be added into the national exchequer.

Sourced told this house would be setup in the PTA while equipment for this house would be provided by telecom companies.

Sources informed that in this regard summary has been sent to Prime Minister for its approval.

LAHORE: Service Sales Corporation, Pakistan’s leading footwear retailer, has launched a new campaign for Liza, its brand for women’s shoes. The campaign “Liza: The Fun Side of Life” has a lively TVC that revolves around a young, cheerful girl who manages to attract everybody’s attention because of her striking shoes. The ad is accompanied by a jingle that leaves you humming the tune long after you have seen the ad or heard it on popular FM stations. SSC’s marketing team comprising GM Marketing Naim-ul-Abd, head of Communication Mian Shahzad Khalid, and Trade Marketing head hassaan Khalid believe that the differentiating factors for this campaign are its lively story line, the choice of Mehreen Raheel as the lead model along with Mekaal, and overall aesthetics of production thanks to the producer, director, the shooting location and setup, and their team at the agency. The campaign perfectly sets the mood for a very trendy summer as the new Liza summer collection is on display in stores now with the promise of a fashion savvy summer. The campaign is currently getting great reviews from customers and business community. PRESS RELEASE

LG brings new total solution for floor heating, cooling and hot water supply LAHORE: LG electronics (LG) is participating in Mostra Convegno expocomfort (MCe) 2012 in Milan to showcase the hydro Kit, a total hVAC solution to meet increasingly demanding air conditioning, floor heating, radiator and sanitary hot water supply needs. honored as a Percorso efficienza & Innovazione (efficiency and Innovation Path) product for MCe 2012, LG’s new hydro Kit manages sanitary hot water supply and floor heating more efficiently than a conventional boiler despite using less energy. The system also does its part to protect the environment by significantly reducing CO2 emissions.

Thanks to advanced heat pump technology and an innovative compressor, the hydro Kit can achieve energy savings of up to 77 percent over a boiler, which translates to approximately 3.6 times greater energy efficiency. In addition, the hydro Kit’s heat pump works much more efficiently and conserves more energy than a traditional heating system based on fossil fuels or electricity, enabling customers to reduce running costs as well as carbon emissions. Along with these benefits, LG’s system attains a significantly higher coefficient of performance (COP) — up to 4.2 — than a regular boiler. PRESS RELEASE

RAWALPINDI: Seen in the picture, from (left TO right) Mr. Sheharyar Mirza, General Manager (far Left) along WITH HIS Excellency DATO’ Ahmad Anwar Bin, High Commissioner of Malaysia AND HER Excellency Dr. Aishath Shehenaz Adam, High Commissioner of Maldives in Pakistan inaugurating the 2012 Regional Food Festival at the Pearl Continental Hotel, Rawalpindi. PRESS RELEASE

KARACHI: Mr. Roy Chang, Head of HHP Division Samsung Electronics along with Mr. Farid Jan, Business Manager - HHP , Mr. Abu Nasar product manager HHP and Ms. Najiyeh Akbar, Manager Marketing HHP, Samsung Electronics Pakistan showcase Samsung new smart phone at the launch of Samsung Galaxy Note Studio in Karachi. PRESS RELEASE