Islamabad (Report by Nasir Jamal) – After seven months of holding the position illegally, Imran Maniar, the Managing Director (MD) of Sui Southern Gas Company (SSGC), has resigned. Despite his exit, Shamshad Akhtar, Chairperson of the Board of Directors (BoD) for the past three years, continues to hold her position, allegedly unlawfully. Following Maniar’s resignation, Akhtar has become proactive in trying to appoint her own interim MD. However, her efforts have already faced a significant setback when the Petroleum Division refused to accept her nominee, Ameen Rajput, for the position.
The SSGC board, despite having an entire year to find a suitable permanent MD, has failed to do so, raising concerns about its competence. Imran Maniar, whose three-year contract ended in February 2024, was initially brought in during the Imran Khan government from the United States. His appointment followed Ali Javed Hamdani’s selection as MD of Sui Northern Gas Pipelines Limited (SNGPL), after Sohail Gulzar declined the position. Maniar’s appointment was reportedly influenced by key figures in a sensitive government institution, leading to what some insiders have described as a “lottery” for Maniar.
The company’s leadership has been chaotic since 2014 when Zohaib Siddiqui was removed from the MD position, followed by several acting MDs. Shocking levels of mismanagement followed, especially under Shamshad Akhtar, who allegedly brought her brother-in-law Khalid Rehman into the MD role through connections with former Finance Minister Ishaq Dar. Rehman faced stiff resistance from Petroleum Minister Shahid Khaqan Abbasi, which led to further disruption, with Rehman operating from PSO House while Ameen Rajput acted as the de facto MD.
The tenure of these MDs and the board’s decisions have led to devastating losses for SSGC. A particular low point was the failure of four LNG transmission turbines in Nawabshah, leading to losses of billions of rupees. This was attributed to the incompetence of key company officers who failed to address urgent repairs despite repeated warnings.
After Rehman’s departure, Ameen Rajput continued to wield influence over company decisions, and during this period, Shamshad Akhtar became the Chairperson of the Board. Though she was already on the board of the Karachi Stock Exchange, no one raised concerns over the conflict of interest. She was even appointed caretaker Finance Minister during her time as board chair, and yet she never relinquished her position at SSGC.
Her hold over the SSGC board has been controversial, as she has allegedly delayed board elections and extended her tenure beyond its expiration in October 2022. The Petroleum Division made numerous attempts to remove her but failed to do so due to Akhtar’s influence. Even interviews for a new MD failed to produce results as unidentified forces continued to obstruct progress.
In another unusual move, in September 2023, when SSGC should have begun the process of appointing a new MD, Shamshad Akhtar’s board kept Imran Maniar in the role for another seven months through a ministerial letter. Maniar was not even a regular employee of the company at that time, and this extension has raised many questions about the legality of such a move.
The situation has left SSGC in a dire state, with questions being raised about the hefty salaries and benefits enjoyed by both Maniar and board members during this period. Despite leaving, it has been reported that Maniar has secured employment abroad and will be moving on without facing accountability for the company’s disastrous performance under his leadership.
The past eight years have been nothing short of a nightmare for SSGC. During this period, the company’s UFG (unaccounted-for gas) levels ballooned to an unprecedented 30%, a figure that points to large-scale gas theft and inefficiency. The company’s leadership paid little attention to improving demand, supply, and network efficiency, focusing instead on “other businesses” that did nothing to improve the company’s overall performance.
SSGC is now at a critical juncture, and many believe that it needs an MD with engineering expertise and a long-standing career within the company. Such a person would be familiar with the intricate workings of the company and have the experience to manage its operations effectively. However, the board has recently recommended an individual with only three months left until retirement as Senior General Manager (SGM), which raises further doubts about the company’s future.
The current leadership vacuum and mismanagement have left many experienced and long-serving officers within the company disillusioned. The company’s once-thriving Meter Plant has collapsed, and LNG terminals have been handed over to Engro and Iqbal Z. Ahmed, despite having sufficient funds and space to manage them internally.
Shamshad Akhtar is now positioning Moin Butt as the number one candidate for interim MD, with the intention that both she and Ameen Rajput can continue to influence company decisions. Butt, however, joined the company in 2019 and has only worked in one department, making him an unlikely candidate to turn the company around. Similar concerns exist about others within the company being positioned for leadership roles, including those with limited experience in key areas.
As SSGC continues to struggle, there is a widespread feeling of demoralization among the staff, with bona fide professionals losing interest in improving the company’s fortunes. The management’s focus has shifted away from operational priorities, leaving a vacuum of leadership and competence. The gas theft and system losses, which far exceed industry standards, are only exacerbating the company’s troubles.
Many insiders argue that a strong and competent MD, along with a fresh board, is urgently needed to revive the company. Without such leadership, SSGC risks becoming another failing state enterprise, much like Pakistan Steel Mills. The responsibility for this turnaround falls squarely on the shoulders of Petroleum Secretary Momin Agha and his team, who must take bold and decisive actions to prevent the further collapse of SSGC. Without immediate reforms, the company may soon reach the point of no return.
