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July 06, 2008 Sunday Rajab 2, 1429



Petroleum ministry to move summary: Ogra Ordinance


ISLAMABAD, July 5: Minister for Petroleum and Natural Resources Shah Mahmood Qureshi has directed the ministry to prepare a summary for removing ambiguity in Oil and Gas Regulatory Authority Ordinance 2002 for protection of consumers’ rights, a senior official of the ministry said on Saturday.

The official said that on price fixation and control issue, the ordinance needs further clarity as presently Ogra can determine only input price of gas and not the end-price as CNG was a deregulated sector.

He said that legislation was a must to ensure a check and balance system.

The official said presently sale price of one kg gas is Rs22.7, including all taxes. However, the sale price was between Rs49.70 and 47.25 in different parts of the country.

When contacted, Chairman, All-Pakistan CNG Association, Sanaur Rehman, said that fixation of sale price was not in the domain of Orga and deregulated price was determined after an input and production cost.

The ministry has increased gas price by only Rs5.58/kg, including all taxes.

Mr Rehman said due to the increase in various taxes and taking into account the cost of electricity along with other factors, price of the compressed gas needs to be rationalised.

He urged the government to take into confidence the members of the association before taking any decision to avoid any confusion.

The President of CNG Association said that 320 million litres of oil was being saved per month by utilising the CNG in auto vehicles as about 0.45 million automobiles ply in the twin cities alone.

He said that switching vehicles from diesel to CNG would be useless now as prices of CNG are near equal to that of diesel.—APP







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