Ishaq Dar emphasized the importance of the petroleum sector for energy security and economic development of the country.
ISLAMABAD: The committee formed to deal with the challenges in the petroleum sector has directed the implementation of the Fuel Price Adjustment (FPA) mechanism in gas bills as well.
The decision was taken during a committee meeting chaired by Deputy Prime Minister Ishaq Dar, which considered the issues faced by exploration and production (E&P) companies in the petroleum sector.
The meeting was attended by Ministers of Petroleum, Finance, Revenue, Energy and other key public and private sector members of the committee.
Ishaq Dar emphasized the importance of the petroleum sector for energy security and economic development of the country.
He reiterated the government’s commitment to facilitate local and foreign companies, which he believes will attract more investment in the sector.
During the meeting, heads of local and foreign E&P companies expressed concerns about the security and stability of the sector, especially due to rising revolving credit.
Members of the private sector also raised issues related to the gas sector, stressing the need to open up the sector to private companies to enhance its sustainability.
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In response, the forum directed the Petroleum Division to suggest necessary amendments to the Ogra Ordinance to introduce a mechanism for adjusting gas rates on a monthly or quarterly basis.
Addressing security concerns, the forum directed the Interior Division to closely collaborate with E&P companies and other stakeholders.
The committee also tasked the Home Division to develop a specific one-window facility system at both the federal and provincial levels to ensure security for operations in difficult areas.
