ISLAMABAD: The Economic Coordination Committee (ECC) of the cabinet approved on Friday a waiver of sales tax and customs duty on the import of cotton.

The ECC meeting, headed by Prime Minister Shahid Khaqan Abbasi, decided that the waiver will take effect from Jan 8. Demand for cotton in the textile supply chain has increased over the past few months because of growing yarn requirements.

The ECC also approved the financing plan for a new gas pipeline between Lahore and Karachi. The pipeline will be used for the transmission of 1.2 billion cubic feet per day re-gasified liquefied natural gas (RLNG).

Rs39 billion sovereign guarantee for coal power projects in Jamshoro

Two public-sector utilities – Sui Southern Gas Company (SSGC) and Sui Northern Gas Pipelines (SNGP) – will undertake the RLNG-III project.

It directed the Petroleum Division to examine the possibility of public-private partnership for the project.

The committee also approved the proposal to allocate 10 million cubic feet per day (mmcfd) of gas from Adam X-1 and 18mmcfd from Adam West X-1 to SSGC.

The price of gas will be determined as per the applicable petroleum policy.

The ECC also granted approval for the issuance of sovereign guarantee of Rs39bn for the construction of two 660-megawatt coal power projects at Jamshoro.

The approval has been granted after the third-party evaluation of the project and authentication of demand and supply data submitted by National Transmission and Dispatch Company.

Published in Dawn, January 6th, 2018