Environment Department engages LCCI after industry raises relocation concerns

By Commerce Reporter

LAHORE, March 10 – Director General Environment Protection Department Imran Hamid Sheikh has said that future industrial planning in Punjab will be carried out in close consultation with the business community and industry itself will guide the government in developing sustainable industrial zones to ensure long-term environmental compliance and economic growth.

He said that Punjab’s anti-smog strategy has emerged as an internationally acknowledged model, adding that the province successfully reduced hazardous air quality levels within two years through joint efforts of industry and government. He noted that international organizations and regional environmental forums are now preparing case studies on Punjab’s environmental management model based on satellite data from global agencies including NASA and the European Union.

He expressed these views while speaking at the Lahore Chamber of Commerce and Industry during a consultative session with industrial stakeholders.

LCCI President Faheem ur Rehman Saigol welcomed the DG Environment and thanked him for visiting the chamber for dialogue with the business community. Senior Vice President Tanveer Ahmad Sheikh, Vice President SAARC Chamber Mian Anjum Nisar former President Muhammad Ali Mian, and Executive Committee Members Amir Ali, Syed Salman Ali, Mohsin Bashir, Iftikhar Ahmad and Rana Shoban Akhtar were also present on the occasion.

Addressing the session, LCCI President Faheem ur Rehman Saigol said that Lahore holds central importance in Punjab’s economy as the province contributes nearly 55 percent to Pakistan’s GDP and the Lahore Chamber represents more than 46,000 member companies belonging to trade as well as diverse industrial sectors.

He emphasized that industrial relocation cannot be treated as a simple administrative decision, as industries are built through decades of investment, planning and generational effort. He said factories are not established overnight and therefore cannot be shifted abruptly without proper alternatives, infrastructure and realistic timelines.

The LCCI President referred to challenges faced by industries affected by urban development projects and said that businesses must first be provided developed industrial land, basic utilities, incentives and clear transition frameworks before any relocation policy is implemented. He stressed the need for sector-wise industrial clusters across Lahore so that industries could continue operating efficiently.

Faheem ur Rehman Saigol said that Pakistan is already facing declining industrialization, rising cost of doing business and widening trade deficit, while job creation largely depends on industrial expansion. He said that with a population exceeding 250 million and a large youth segment, strengthening industry is essential to avoid economic instability.

He also urged the government to facilitate industries in adopting environmental technologies through soft loans and financial support, noting that many small and medium enterprises cannot independently afford costly emission control equipment. He reaffirmed that LCCI serves as a bridge between government institutions and the business community and can help build consensus through dialogue and negotiation.

Continuing his address, DG Environment Imran Hamid Sheikh appreciated Lahore Chamber and industrial stakeholders for their cooperation in combating smog, stating that emission control systems, scrubbers and monitoring mechanisms were largely financed and implemented by industries themselves, making them the “real heroes” of environmental improvement.

He said the next phase aims to convert short-term environmental success into a sustainable long-term model through planned industrial estates where collective infrastructure such as wastewater treatment, monitoring systems and regulatory coordination would reduce compliance burdens on individual industries.

The DG clarified that the proposed industrial zoning initiative is not similar to earlier relocation models imposed without consultation. Instead, it will be a phased, consultative and data-driven process developed under the guidance of industry representatives. Different industrial categories will be assessed separately based on environmental impact, labor intensity and relocation feasibility.

He invited LCCI to nominate representatives for a joint working group that will help design policy recommendations before submission to the Punjab government. He stressed that innovation and technological solutions must come from the private sector, while the government’s role remains that of facilitator and regulator.

He added that upcoming South Asian environmental delegates will visit Lahore to study Punjab’s anti-smog success, and the first interaction with industrial stakeholders is planned to be held at the Lahore Chamber of Commerce and Industry.

The session concluded with consensus on continued dialogue between government and industry to ensure environmental sustainability without disrupting industrial growth and employment generation.