ISLAMABAD: Umar Asad, a leader of Pakistan Tehreek-i-Insaf (PTI) and member of National Assembly, on Thursday moved an application before the Supreme Court pleading to restrain the Ministry of Petroleum and the Oil and Gas Regulatory Authority (Ogra) from increasing the Unaccounted for Gas (UFG) benchmark from 4.5 to 9 per cent.

If the UFG was increased to 9pc for the years 2012-13 and 2013-14, gas consumers would suffer badly, argued Mr Umar in a joint application, also signed by Farrukh Dall, an advocate.

The apex court, which is seized with Ogra implementation case, was also requested by the applicants to order referring a case against Ogra Chairman Saeed Ahmed Khan to the National Accountability Bureau (NAB) in view of alleged illegalities, irregularities, malpractices and corrupt practices. But, before sending the corruption reference, they pleaded, the Ogra chairman should be sent on forced leave till the time investigations against him was completed and a report was submitted by the bureau to the court.

PTI lawmaker says gas consumers will suffer badly by increase in UFG

The application has also sought a stay against the July 2 summary moved by the petroleum ministry for the Economic Coordination Committee of the Cabinet for policy guidelines in the UFG benchmarking for 2012 to 2014.

According to the application, the summary is illegal because under Section 8 of Ogra Ordinance, the authority determines the revenue requirement or prescribed prices in which UFG was a major part for the gas utilities. Besides, Ogra under sections 8 and 21 of the ordinance cannot seek the policy guidelines on UFG benchmarking and the federal government cannot issue the same to Ogra.

The application reminded that Ogra had rejected similar demands for determining the UFG since 2005-06, but now suddenly the Ogra chairman, in alleged connivance with the petroleum ministry, illegally and unlawfully was bent upon taxing consumers.

The application highlighted that NAB had sent a reference in the Tauqir Sadiq case against the Managing Director of Sui Southern Gas Company (SSGCL) Zuhair Siddiqui, General Manager (Finance) Syed Arsalan Iqbal and Deputy Managing Director Yousaf J. Ansar. It said these officials were even charge-sheeted by an accountability court in Islamabad on May 26, but they still held important positions in the SSGCL. And despite NAB’s advice, the petroleum ministry has not taken any action against them.

Thus, the application said, these appointees of former chairman of Ogra Tauqir Sadiq were being protected by the incumbent chairman because they were still working for Ogra.

The application recalled that the auditor general on Feb 20 requested NAB to investigate price differential claims sanctioned to oil marketing companies by the finance ministry in violation of statutory provisions, but the matter was still pending with NAB.

The Lahore High Court, on Feb 15 last year, had ordered the Ogra chairman to pass on a substantial amount to consumers in gas tariff which comes to Rs13 billion, but the chairman did nothing despite the lapse of over a year. This amounted to contempt of court and misconduct on part of the Ogra chairman.

The petitioners argued that if the petroleum ministry and the Ogra chairman succeeded in their alleged ulterior motive, billions of rupees of gas theft would be passed on to consumers and the price would be increased by a big margin.

Published in Dawn, July 11th, 2014