YLRN 2016

2016 PLP 105 (YLRN)

Messrs GEO POWER ASSOCIATES through Senior Managing Director — Petitioner Versus SUI-NORTHERN GAS PIPE LINES LIMITED through Managing Director, Lahore and 6 others — Respondents

Jurisdiction / Court
Lahore
Decided Date
Writ Petition No.483 of 2014, decided on 10th January, 2014.
Honorable Judges
Ijaz Ahmad, J
Case Reference Summary (AEO Optimized)
Citation 2016 PLP 105 (YLRN)
Forum / Court Lahore
Bench Members Ijaz Ahmad, J
Parties Messrs GEO POWER ASSOCIATES through Senior Managing Director — Petitioner Versus SUI-NORTHERN GAS PIPE LINES LIMITED through Managing Director, Lahore and 6 others — Respondents
Primary Law Constitution of Pakistan, 2. Through this constitutional petition, it is prayed as follows:
💡 Quick Legal QA & Summary / سوال و جواب خلاصہ
Q1: What are the key laws and sections cited in 2016 PLP 105 (YLRN)?

This judgment primarily cites: Constitution of Pakistan, 2. Through this constitutional petition, it is prayed as follows: as referenced in Pakistani case law index.

Q2: Which judicial bench decided the case 2016 PLP 105 (YLRN)?

The case was heard and decided by the Lahore bench comprising: Ijaz Ahmad, J.

Q3: What is the official citation format for this judgment on Pakistan Law Portal?

Cite this legal precedent as: 2016 PLP 105 (YLRN) (Messrs GEO POWER ASSOCIATES through Senior Managing Director — Petitioner Versus SUI-NORTHERN GAS PIPE LINES LIMITED through Managing Director, Lahore and 6 others — Respondents). Read the full summary and cross-referenced laws free on Pakistan Law Portal.

Laws Cited

Constitution of Pakistan 2. Through this constitutional petition, it is prayed as follows:

Representation

  • Muhammad Yousaf Javaid Phaphra for Petitioner.
  • Umer Sharif, Advocate/Legal Advisor for Respondents on Court's call.
  • IJAZ AHMAD, J.---In the early hours of the day, the case was called up for hearing. A copy of this petition was handed over to the learned counsel for respondents Nos. 1 to 4.

Headnotes / Summary

Arts. 199, 4, 9, 18 & 25

Constitutional petition

Implementation of order of High Court with regard to uninterrupted supply of natural gas to CNG station of petitioner

Load management

Scope

License issued to the petitioner had allowed him to purchase, compress, store and dispense natural gas

Supply of natural gas was a bilateral agreement between the petitioner and respondent-company

Quantity of gas was limited and was decreasing and its users were unlimited

Such situation had called for equitable distribution, load management and rationing, keeping in view the intensity and nature of needs of each sector and suitability of alternative energy for them

Respondent-company called upon the petitioner to cooperate and to observe gas holidays for fulfillment of demands of all sectors of consumers of natural gas

Petitioner locked the consumer meter with his own lock which was a violation of rules and regulations of the company and terms and conditions of contract executed between the parties

Supply of gas was always subject to its availability

Load management was need of the day which was beyond the control of company

Rights of petitioner and other citizens under Arts. 4, 9, 18 & 25, of the Constitution were not unfettered

Rights and liberties of the individuals were trimmed and regulated by the law

Petitioner and other CNG stations could not ask for continuous supply of gas which was not available

Petitioner could not be allowed to select his own course of action by putting his meter under his own lock by creating hindrance in operational activities and by violating gas holidays

Constitutional petition was dismissed in circumstances. [Paras. 8, 10 and 11 of the judgment] Messrs Mian CNG Filing Station through Managing Partner v. SNGPL and others 2011 YLR 1491 and Messrs Shandar Petroleum/CNG and 46 others v. Federation of Pakistan through Ministry of Petroleum and 2 others 2012 YLR 1529 rel. ORDER "It is therefore, most humbly and respectfully prayed that instant writ petition may kindly be accepted and order dated 27.12.2013 passed by this Hon'ble Court in W.P. No.33596/2013, be implemented in its letter and spirit by allowing to start his operation and to carry on with uninterrupted supply of gas specifically directing the respondents and they be restrained to interfere with the distribution/ supply of gas to the consumer by starting the operation of the same and by restraining to remove the apparatuses and meter and to seal the premises of the station of the petitioner. By summoning the respondents Nos.2 and 3 by giving full doze of punishment being contemnors of the order of this Hon'ble Court. It is further prayed that during the pendency of the titled writ petition the respondents may very kindly be restrained to remove the apparatuses, meter of the CNG Station and be restrained to seal the premises of the said station with uninterrupted supply of the gas to the station of the petitioner. It is also prayed that during the pendency of the titled writ petition operation of the notice dated 22.12.2013 issued by the respondent No.3 under the order of respondent No.2 under the shield of (impugned schedule/policy may very kindly be suspended. Any other relief which this Hon'ble Court deems fit and proper may also be granted to the petitioner".

3. The learned counsel for the petitioner at the very outset, seeks to withdraw the prayer regarding the summoning of respondents Nos. 2 and 3 and proceeding against them as contemnors.

4. The learned counsel appearing on behalf of the SNGLP submits that he has sought instructions from the respondents. He opts not to file reply to this petition and to confine himself to law points only. This petition is admitted to a regular hearing. It will be treated, as a pakka case. Both the parties are ready to argue the case.

5. It is averred in this petition and is so argued that the gas station was set up by the petitioner under the policy of the Government that promoted the use of environment friendly fuel, by investing a huge amount of money and under a valid licence issued by the OGRA for storage and dispensing of the natural gas (N.G). He impugns the policy of the respondents for "Load Management" and subjecting the petitioner to gas holidays. Contends that the said policy is violative of the provisions of Articles 4, 9, 18 and 25 of the Constitution of Islamic Republic of Pakistan, 1973. Further argues that on the insistence of the petitioner for un-interrupted and continuous supply of N.G, the respondents are adamant on removing the apparatus and meter of CNG and sealing the premises.

6. On the other hand, the learned counsel appearing on behalf of the SNGPL contends that he admits that the Government had been encouraging and promoting the use of environment friendly fuel and that there is a license for storage and dispensing of the N.G. in favour of the petitioner and that by the population explosion and the policy of the State Bank of Pakistan to advance loans for the purchase of vehicles, the number of the vehicles on the roads has multiplied many times over but the gas at the disposal of the respondents is in limited quantity which requires the load management. It is further contended that even if OGRA has issued a licence in favour of the petitioner, the supply of N.G. is regulated by a bilateral agreement between the petitioner and SNGPL, which provides for Load Management and that the available gas has to be supplied to all the consumers but according to the order of preference, keeping in view the nature of the needs of each class of consumers and the availability of the alternative and suitable sources of energy. The learned counsel for the respondents defends the impugned notice dated 22.12.2013 on the ground that the petitioner has no right to create hindrance in the operational activities of respondents by securing the consumer meter station with his own lock.

7. Heard. Record perused.

8. The license issued by the OGRA allows the petitioner to engage in the purchase, compression, storage and dispensation of the natural gas. The supply of the N.G. is the subject matter of a bilateral written agreement between the petitioner and the respondent SNGPL, whose existence the petitioner does not deny but opts to withhold it, rendering himself prone to an adverse presumption. The quantity of the gas is limited and is decreasing by every passing day. It will deplete unless new sources are tapped. The number of its users is unlimited. The domestic users, the industrial concerns using the gas as raw material; the mega concerns engaging a large number of the human resource and the CNG Stations, all are craving for the N.G.

9. Each passing day, adds to the number of the consumers by population explosion, opening of new sectors requiring the gas and switching over from other fuels to N.G., a more efficient source of energy. This situation calls for equitable distribution, load management and rationing keeping in view the intensity and nature of the needs of each sector and suitability of the alternative energy for each of them. The need of the N.G. especially in case of domestic consumption increases many times over during the winter season. Unless, the alternatives are made available to the domestic users, the supply of natural gas cannot be refused to them. Otherwise the results will be drastic. The kerosene oil is environment unfriendly and expensive. The day at home will start with quarrels carrying the same mood to the roads, schools, offices, markets, factories and other places of business. Because of burning the wood as fuel at home, the country, that in the year 1947 within its present territorial limits, had 6% of its area under forest, has today a reduced area close to 4% of the total area under forest. The speed of deforestation to meet with the need for fuel will accelerate unprecedently. We are already losing fast the antique juniper forest in Ziarat, Balochistan and the rare mangroves in the coastal areas of the Sindh. In high temperature, the seeds will refuse to germinate and the seed-lings to subsist. The land erosion will be an added catastrophe. The loss will be colossal and irreversible. Lets ward it off and give the domestic user of N.G., the priority first. The natural gas (chemical formula C2H4) is used as an indispensible raw material for the fertilizer sector of the industry. The Hydrogen splitted from N.G. is the component of Amonia. In view of the intensive cultivation, we are practising, the refertilization and revigourisation of lands required after each harvest cannot be ensured without the use of chemical fertilizers. The edible oil industry makes precious use of Hydrogen splitted from N.G. to Hydrogenizes the oil to transform it into Ghee, the mega industrial concerns, may not be using the N.G. as a raw material or for adding value to a product, but employ a substantial segment of human resource giving them the purchasing power which in the end makes the mare go. The 2nd, 3rd and 4th priority in supply of N.G. has to be given to these three sectors of the national industry. The motorist in case of non-availability of the gas may switch over to petrol which may be a bit more expensive. The motorist also has a choice of public transport which may be a bit less convenient but is less expensive at the same time. Resort to public transport will decrease the pressure on the roads. In the order of preference, no doubt CNG stations entail all other N.G users.

10. SNGPL vide letter dated 10.12.2013 had called upon the petitioner to cooperate and to observe the gas holidays so that the former could fulfill the demand of all three sectors of consumers of the gas. Instead of cooperating with the respondent, the petitioner locked the consumer meter station with his of own lock which is severe violation of rules and regulations of SNGPL and the terms and conditions of the contract executed between the petitioner and SNGPL. The supply of the gas is always subject to its availability. Reliance is placed on (2011 YLR 1491) titled "Messrs Mian CNG Filling Station through Managing Partner v. SNGPL and others" and (2012 YLR 1529) titled "Messrs Shandar Petroleum/CNG and 46 others v. Federation of Pakistan through Ministry of Petroleum and 2 others" wherein the policy of the respondents regarding supply of the N.G. to its consumers by load management has been declared intra vires of the law.

11. We have to organize ourselves and make efficient use of the available limited sources of energy. We are facing the energy crisis besides the economic crisis, both are corelated. A formal declaration of the situation and a resolve to cope with it is the only way out. In Sir Winston Churchill's words, we have to toil, sweat and bleed together in hard times. The load management is the need of the day. In these circumstances, it cannot be said that the load management ordered by the respondents is beyond their authority. The rights of the petitioner and other citizens under Articles 4, 9, 18 and 25 of the Constitution of Islamic Republic of Pakistan 1973 are not unfettered. The rights and liberties of the individuals are always trimmed and regulated by the law as made by the State. The petitioner and the other CNG stations cannot ask for continuous supply of gas though not available. They cannot be allowed to select their own course of action by putting their meter station under their own locks, thus, creating hindrance in operational activities and by violating the gas holidays. In this view of the matter, I do not see any merit in this petition. It is hereby dismissed. ZC/G-5/L Petition dismissed.

Judgment & Decree

IJAZ AHMAD, J.

In the early hours of the day, the case was called up for hearing. A copy of this petition was handed over to the learned counsel for respondents Nos. 1 to 4.

2. Through this constitutional petition, it is prayed as follows:- "It is therefore, most humbly and respectfully prayed that instant writ petition may kindly be accepted and order dated 27.12.2013 passed by this Hon'ble Court in W.P. No.33596/2013, be implemented in its letter and spirit by allowing to start his operation and to carry on with uninterrupted supply of gas specifically directing the respondents and they be restrained to interfere with the distribution/ supply of gas to the consumer by starting the operation of the same and by restraining to remove the apparatuses and meter and to seal the premises of the station of the petitioner. By summoning the respondents Nos.2 and 3 by giving full doze of punishment being contemnors of the order of this Hon'ble Court. It is further prayed that during the pendency of the titled writ petition the respondents may very kindly be restrained to remove the apparatuses, meter of the CNG Station and be restrained to seal the premises of the said station with uninterrupted supply of the gas to the station of the petitioner. It is also prayed that during the pendency of the titled writ petition operation of the notice dated 22.12.2013 issued by the respondent No.3 under the order of respondent No.2 under the shield of (impugned schedule/policy may very kindly be suspended. Any other relief which this Hon'ble Court deems fit and proper may also be granted to the petitioner".

3. The learned counsel for the petitioner at the very outset, seeks to withdraw the prayer regarding the summoning of respondents Nos. 2 and 3 and proceeding against them as contemnors.

4. The learned counsel appearing on behalf of the SNGLP submits that he has sought instructions from the respondents. He opts not to file reply to this petition and to confine himself to law points only. This petition is admitted to a regular hearing. It will be treated, as a pakka case. Both the parties are ready to argue the case.

5. It is averred in this petition and is so argued that the gas station was set up by the petitioner under the policy of the Government that promoted the use of environment friendly fuel, by investing a huge amount of money and under a valid licence issued by the OGRA for storage and dispensing of the natural gas (N.G). He impugns the policy of the respondents for "Load Management" and subjecting the petitioner to gas holidays. Contends that the said policy is violative of the provisions of Articles 4, 9, 18 and 25 of the Constitution of Islamic Republic of Pakistan, 1973. Further argues that on the insistence of the petitioner for un-interrupted and continuous supply of N.G, the respondents are adamant on removing the apparatus and meter of CNG and sealing the premises.

6. On the other hand, the learned counsel appearing on behalf of the SNGPL contends that he admits that the Government had been encouraging and promoting the use of environment friendly fuel and that there is a license for storage and dispensing of the N.G. in favour of the petitioner and that by the population explosion and the policy of the State Bank of Pakistan to advance loans for the purchase of vehicles, the number of the vehicles on the roads has multiplied many times over but the gas at the disposal of the respondents is in limited quantity which requires the load management. It is further contended that even if OGRA has issued a licence in favour of the petitioner, the supply of N.G. is regulated by a bilateral agreement between the petitioner and SNGPL, which provides for Load Management and that the available gas has to be supplied to all the consumers but according to the order of preference, keeping in view the nature of the needs of each class of consumers and the availability of the alternative and suitable sources of energy. The learned counsel for the respondents defends the impugned notice dated 22.12.2013 on the ground that the petitioner has no right to create hindrance in the operational activities of respondents by securing the consumer meter station with his own lock.

7. Heard. Record perused.

8. The license issued by the OGRA allows the petitioner to engage in the purchase, compression, storage and dispensation of the natural gas. The supply of the N.G. is the subject matter of a bilateral written agreement between the petitioner and the respondent SNGPL, whose existence the petitioner does not deny but opts to withhold it, rendering himself prone to an adverse presumption. The quantity of the gas is limited and is decreasing by every passing day. It will deplete unless new sources are tapped. The number of its users is unlimited. The domestic users, the industrial concerns using the gas as raw material; the mega concerns engaging a large number of the human resource and the CNG Stations, all are craving for the N.G.

9. Each passing day, adds to the number of the consumers by population explosion, opening of new sectors requiring the gas and switching over from other fuels to N.G., a more efficient source of energy. This situation calls for equitable distribution, load management and rationing keeping in view the intensity and nature of the needs of each sector and suitability of the alternative energy for each of them. The need of the N.G. especially in case of domestic consumption increases many times over during the winter season. Unless, the alternatives are made available to the domestic users, the supply of natural gas cannot be refused to them. Otherwise the results will be drastic. The kerosene oil is environment unfriendly and expensive. The day at home will start with quarrels carrying the same mood to the roads, schools, offices, markets, factories and other places of business. Because of burning the wood as fuel at home, the country, that in the year 1947 within its present territorial limits, had 6% of its area under forest, has today a reduced area close to 4% of the total area under forest. The speed of deforestation to meet with the need for fuel will accelerate unprecedently. We are already losing fast the antique juniper forest in Ziarat, Balochistan and the rare mangroves in the coastal areas of the Sindh. In high temperature, the seeds will refuse to germinate and the seed-lings to subsist. The land erosion will be an added catastrophe. The loss will be colossal and irreversible. Lets ward it off and give the domestic user of N.G., the priority first. The natural gas (chemical formula C2H4) is used as an indispensible raw material for the fertilizer sector of the industry. The Hydrogen splitted from N.G. is the component of Amonia. In view of the intensive cultivation, we are practising, the refertilization and revigourisation of lands required after each harvest cannot be ensured without the use of chemical fertilizers. The edible oil industry makes precious use of Hydrogen splitted from N.G. to Hydrogenizes the oil to transform it into Ghee, the mega industrial concerns, may not be using the N.G. as a raw material or for adding value to a product, but employ a substantial segment of human resource giving them the purchasing power which in the end makes the mare go. The 2nd, 3rd and 4th priority in supply of N.G. has to be given to these three sectors of the national industry. The motorist in case of non-availability of the gas may switch over to petrol which may be a bit more expensive. The motorist also has a choice of public transport which may be a bit less convenient but is less expensive at the same time. Resort to public transport will decrease the pressure on the roads. In the order of preference, no doubt CNG stations entail all other N.G users.

10. SNGPL vide letter dated 10.12.2013 had called upon the petitioner to cooperate and to observe the gas holidays so that the former could fulfill the demand of all three sectors of consumers of the gas. Instead of cooperating with the respondent, the petitioner locked the consumer meter station with his of own lock which is severe violation of rules and regulations of SNGPL and the terms and conditions of the contract executed between the petitioner and SNGPL. The supply of the gas is always subject to its availability. Reliance is placed on (2011 YLR 1491) titled "Messrs Mian CNG Filling Station through Managing Partner v. SNGPL and others" and (2012 YLR 1529) titled "Messrs Shandar Petroleum/CNG and 46 others v. Federation of Pakistan through Ministry of Petroleum and 2 others" wherein the policy of the respondents regarding supply of the N.G. to its consumers by load management has been declared intra vires of the law.

11. We have to organize ourselves and make efficient use of the available limited sources of energy. We are facing the energy crisis besides the economic crisis, both are corelated. A formal declaration of the situation and a resolve to cope with it is the only way out. In Sir Winston Churchill's words, we have to toil, sweat and bleed together in hard times. The load management is the need of the day. In these circumstances, it cannot be said that the load management ordered by the respondents is beyond their authority. The rights of the petitioner and other citizens under Articles 4, 9, 18 and 25 of the Constitution of Islamic Republic of Pakistan 1973 are not unfettered. The rights and liberties of the individuals are always trimmed and regulated by the law as made by the State. The petitioner and the other CNG stations cannot ask for continuous supply of gas though not available. They cannot be allowed to select their own course of action by putting their meter station under their own locks, thus, creating hindrance in operational activities and by violating the gas holidays. In this view of the matter, I do not see any merit in this petition. It is hereby dismissed. ZC/G-5/L Petition dismissed.