Licences for RLNG-based fuel stations allowed

Published January 24, 2021
In a bid to revive the CNG sector, the government has abo­lished restrictions on fresh licences. — File photo
In a bid to revive the CNG sector, the government has abo­lished restrictions on fresh licences. — File photo

ISLAMABAD: In a bid to revive the CNG sector, the government has abo­lished restrictions on fresh licences, but all the stations are likely to be shifted to imported re-gasified natural gas from the natural gas in phases.

The Oil and Gas Regulatory Autho­rity (Ogra) has started to implement the decision of the Economic Coor­dination Committee (ECC) of the Cabi­net and the invitations for licences to establish new CNG stations have started, but with a clear warning that the raw material to be used will only be RLNG.

“The warning is attached with the invitation to apply for new CNG licenses, and the applicant has to give an undertaking that they will not claim natural gas supply even in future,” an Ogra official said, adding there have been incidents in the past when the CNG licence holders mainly in Sindh and KP approached the courts of law that getting natural gas was their right as it was produced in their province.”

The ban on the issuance of new licenses was imposed in 2008, due to a serious shortage of locally produced gas, the ECC had directed Ogra in the first week of October 2020 to issue only the RLNG-based new licences to CNG stations.

The ECC directives said that the CNG stations would neither receive indigenous gas nor can claim to get locally produced gas for conversion to CNG.

Published in Dawn, January 24th, 2021

Follow Dawn Business on Twitter, LinkedIn, Instagram and Facebook for insights on business, finance and tech from Pakistan and across the world.

Opinion

Editorial

Digital growth
Updated 25 Apr, 2024

Digital growth

Democratising digital development will catalyse a rapid, if not immediate, improvement in human development indicators for the underserved segments of the Pakistani citizenry.
Nikah rights
25 Apr, 2024

Nikah rights

THE Supreme Court recently delivered a judgement championing the rights of women within a marriage. The ruling...
Campus crackdowns
25 Apr, 2024

Campus crackdowns

WHILE most Western governments have either been gladly facilitating Israel’s genocidal war in Gaza, or meekly...
Ties with Tehran
Updated 24 Apr, 2024

Ties with Tehran

Tomorrow, if ties between Washington and Beijing nosedive, and the US asks Pakistan to reconsider CPEC, will we comply?
Working together
24 Apr, 2024

Working together

PAKISTAN’S democracy seems adrift, and no one understands this better than our politicians. The system has gone...
Farmers’ anxiety
24 Apr, 2024

Farmers’ anxiety

WHEAT prices in Punjab have plummeted far below the minimum support price owing to a bumper harvest, reckless...