KUALA LUMPUR (April 5): The Federation of Malaysian Manufacturers (FMM) has flagged significant operational and business continuity challenges for about 200 companies whose gas supply is disrupted for 20 days in the aftermath of the Putra Heights gas pipeline fire.
In a response to press queries, FMM said gas supply to these companies is only expected to resume at 6pm on April 20.
"While we understand that repair and restoration efforts are ongoing and being coordinated between Selangor Menteri Besar Datuk Seri Amirudin Shari and Petroliam Nasional Bhd (Petronas), led by its president and group chief executive officer Tan Sri Tengku Muhammad Taufik Tengku Aziz, the extended length of the supply disruption is causing significant operational and business continuity challenges for industries in the affected areas.
"The affected manufacturers, many of whom rely on a steady and secure gas supply for production, are facing potential production stoppages, financial losses, and severe disruptions to their supply chains," FMM said.
The 20-day disruption is threatening operational stability and also "potentially undermining the industrial resilience as Klang Valley is the location of many major multinationals and large industries", it said.
"Even those with robust business continuity plans are not spared, as their suppliers, many of whom lack such contingency measures, are equally affected," it added.
According to the FMM, industries are exploring temporary solutions such as liquefied natural gas delivery by tankers.
It seeks "facilitation from relevant authorities in accommodating the necessary arrangement and approvals based on emergency basis to minimise the impact of supply disruption to the affected industries".
The federation also expressed its deepest sympathies to the surrounding communities affected by the Putra Heights incident.
"FMM looks forward to collaborating with all relevant authorities and parties in ensuring a swift resolution to this very critical issue," it added.
A section of Petronas Gas Bhd's (KL:PETGAS) gas transmission pipeline located in Putra Heights caught fire on April 1, lasting about eight hours and interrupting gas supply to close to 200 industrial customers.
The piped gas is supplied to distribution pipelines for consumption by commercial, industrial and residential customers.
The fire also affected over 200 houses and 1,254 individuals from 308 families. Of 134 individuals who were injured, 46 were still being treated while one was in the ICU, according to reports.
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