Karachi Customs Charged with Illegal Hazardous Waste Dumping, Claims Tax Ombudsman
KARACHI: The Federal Tax Ombudsman (FTO) berated Pakistan Customs for mismanaging more than 650 containers of hazardous PVC plastic waste at Port Muhammad Bin Qasim (PMBQ), Karachi.
Rather than destroying or auctioning off the waste in a proper manner, Customs dumped the waste at an uncertified location in Gadap Town. It was an environmental law violation that resulted in a massive loss to government revenue.
Illegal Dumping Rather Than Safe Disposal
The complaint was made by Mr. Basit Ahmed Khan, director of M/s Khalil Sons (Pvt) Ltd. He averred that Customs refused his proposal to dispose of the waste safely with a SEPA-approved pyrolysis plant. His company employs this technology to convert plastic waste into valuable by-products such as:
- Alternative fuel (diesel-like)
- Industrial boiler fuel
- Material for producing fresh plastics
- Heating fuel
- Bitumen mix for road works
Rather, Customs disposed of the waste at Plot No.243 in Deh Narathar, Gadap Town — not an authorized hazardous waste site.
Shocking Allegations
Reports indicate that 70% of dumped waste has already been illegally sold in the market, possibly assisted by Customs officials. Only 30% of the waste is left, making it difficult to trace and audit.
FTO Investigation Findings
The FTO report indicated a few serious issues:
- Customs had bypassed a 2023 directive by the Ministry of Commerce to re-export the waste to the country of origin.
- The dumping ground was not SEPA-certified despite Customs’ claim to the contrary.
- Customs spurned the incineration proposal without grounds.
- Customs defamed the complainant for presenting forged documents, yet the FTO could not find evidence that the waste had been handled properly.
- The FTO held that Customs demonstrated maladministration under Sections 2(3)(i) & (ii) of the FTO Ordinance, 2000.
FTO Directives
1 The Collector and Chief Collector of PMBQ should re-consider Mr. Khan’s application dated December 7, 2024.
2 The Operations Member of Customs should develop transparent guidelines (SOPs) for hazardous waste disposal, as per the Ministry of Climate Change and Basel Convention norms.
3 There should be a compliance report within 45 days.
Why This Matters
This case exposes serious issues in the management of hazardous waste in Pakistan. It indicates the necessity of:
- Stronger environmental legislations
- Improved communication among government agencies
- More transparent methods of disposal
- More stringent checks to prevent illegal dumping and safeguard public health