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ECC APPROVES GAS TARIFF HIKE FOR CAPTIVE POWER PLANTS AS DOMESTIC CONSUMERS SPARED Monday, 27 January, 2025 | 26 Rajabul Murajjab 1446
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GRID TRANSITION LEVY TO BE IMPLEMENTED FOR ENERGY SECTOR EFFICIENCY PROFIT
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An Iranian worker stands in front of a section of a pipeline after the project was launched during a ceremony with presidents of Iran and Pakistan on March 11, 2013 in the Iranian border city of Chah Bahar. The two leaders jointly unveiled a plaque before shaking hands and offering prayers for the successful conclusion of the project, which involves the laying of a 780 kilometre (485 mile) section of the pipeline on the Pakistani side, expected to cost some $1.5 billion. The Economic Coordination Committee (ECC) approved an increase in gas tariffs for captive power plants while keeping rates for domestic consumers unchanged. The decision was taken during a meeting on Saturday, chaired by Federal Minister for Finance Mohammad Aurangzeb. The gas tariff for captive power plants has been raised from Rs. 3,000 to Rs. 3,500
per MMBTU, effective for the fiscal year 2024-25. This measure aims to generate the required revenue for the gas sector, according to an official statement from the Ministry of Finance. The ECC rejected a proposal to increase tariffs for domestic consumers, citing concerns about the additional financial burden on households. The committee also instructed the Petroleum Division to implement a grid transition levy on captive power plants to enhance energy sector performance. The meeting reviewed a summary submitted by the Petroleum Division, proposing revisions to gas tariffs for industry and certain domestic slabs. Attendees included Petroleum Minister Musadik Masood Malik, Power Minister Sardar Awais Ahmed Khan Leghari, and senior officials. The decision comes after weeks of opposition from industrialists and exporters,
OGRA notifies gas price hike for captive gas plans; retains rates for other consumers ISLAMABAD
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who argued that higher utility costs could hurt small and medium enterprises (SMEs). Meanwhile, the Oil & Gas Regulatory Authority (OGRA) recently recommended a 26% gas price hike to generate Rs. 847.33 billion during the current fiscal year. Under the revised tariff structure, the average gas price is set at Rs. 1,762.51 per MMBTU for Sui Southern Gas Company (SSGC) and Rs. 1,778.35 per MMBTU for Sui Northern Gas Pipelines Limited (SNGPL).
Naqvi dismisses allegations of anti-China event participation as ‘malicious fabrications’ g
INTERIOR MINISTER CLARIFIES HIS ATTENDANCE AT A YOUTH EVENT MISINTERPRETED AND BLOWN OUT OF PROPORTION ISLAMABAD
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Interior Minister Mohsin Naqvi on Sunday rebutted reports of him attending an event considered “antiChina” during his visit to the United States, labeling them as “malicious fabrications” and “baseless campaigns” designed to tarnish his reputation. His clarification comes after various posts on social media as well as a local and an Indian media report claimed that Naqvi attended an event hosted by a lobbying group that campaigns against the neighbour’s ruling Chinese Communist Party. Responding to reporters’ queries in Houston, the minister clarified that his attendance at a youth event was misinterpreted and blown out of proportion, terming the reports “propaganda”. “Neither have I attended nor have I gone to any kind of anti-Chinese state event,” he asserted, acknowledging he attended an event organised by Gunster Strategies Worldwide, a public relations firm in
the US, which “they connected as being anti-China”. “They can do as much propaganda as they want. It does not matter,” Naqvi quipped, reiterating his clarification that he did not attend “any anti-China function”. He assured that the misinformation and baseless rumors would not distract him from fulfilling his responsibilities, reiterating his commitment to his duties. The interior minister has been on a visit to the US this week, where he has participated in various events and held important meetings, according to the Associated Press of Pakistan. ‘US LAWMAKERS BEING INCITED AGAINST PAKISTANI GOVT’
While terming his meetings with the US Congress members as positive, Naqvi said members of the US House of Representatives were being incited against Pakistan. “A lot of dirt was being spread about Pakistan and its government here, clearing which was necessary,” Naqvi said, speaking about his interactions in the US.
Imran reiterates calls for overseas Pakistanis to boycott remittances ISLAMABAD
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Incarcerated former prime minister Imran Khan on Sunday reiterated his call for overseas Pakistanis to boycott sending remittances, escalating political tensions as his party – the Pakistan Tehreek-e-Insaf (PTI) has halted negotiation with the government following the latter’s failure to form a judicial commission to probe the May 9 and Nov 26 incident. According to a post on the X handle of Imran Khan, “Once again, I urge overseas Pakistanis to continue their boycott of foreign currency remittances. Sending money to this government strengthens the very hands that are tightening the noose around your necks.” The appeal comes as talks between the government and PTI, initiated last month, broke down this week. The deadlock followed the PTI’s refusal to participate without judicial commissions to probe protests on May 9, 2023, and November 26, 2024. Khan also called for nationwide demonstrations on Feb. 8, marking the contentious 2024 elections as a “Black Day.” PTI alleges election rigging by the caretaker government and the Election Commission of Pakistan. Both entities deny the claims. “Prepare to observe a nationwide ‘Black Day,’” read another post from Khan’s account. “People from Khyber Pakhtunkhwa and northern Punjab should gather in Swabi for protests, while others must hold demonstrations in their respective cities.” The May 2023 protests allegedly saw Khan supporters vandalising military installations. On November 26, 2024, protesters demanded Khan’s release, with the government claiming four troops were killed in the demonstrations. The PTI insists its supporters also faced casualties.
“Congressmen and senators here are being poisoned against Pakistan, which I would term as enmity against the country. You should do politics, it is your right, but do not go to the extent that it harms Pakistan,” he added. His statement comes days after a handful of US lawmakers and rights activists urged the new Congress to take a stand against the military trials of civilians in Pakistan, and to advocate for the reversal of anti-democratic measures allegedly targeting the PTI. Responding to a question about the rise in terrorist activities in Pakistan last year, Naqvi stressed the main aim of his US visit was to formulate an effective strategy against terrorism with the coordination of US politicians. The interior minister made it clear that “anyone who would take up arms against the state of Pakistan” would be dealt with iron hands. Naqvi highlighted that terrorism was not just Pakistan’s fight, but a common war.
FBR Chief defends plan to buy 1,010 vehicles despite Senate objections PROFIT
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Federal Board of Revenue (FBR) Chairman Rashid Mahmood Langrial on Sunday defended the decision to purchase 1,010 vehicles for tax officers, emphasising their necessity for achieving the Rs 12.9 trillion tax collection target set for FY25. His statement came in response to objections raised by the Senate Standing Committee on Finance and Revenue, where Senator Faisal Vawda had criticised the move, terming it “open corruption” and a misuse of government funds especially after the ongoing tax shortfall. Addressing the media during the International Customs Day 2025 event in Karachi, Langrial reiterated the Cabinet’s approval for the purchase and assured that concerns of the cabinet were about the procurement procedure, which would be reviewed and addressed respectfully. “Young officers need proper transportation for field visits to collect sales tax,” Langrial stated, maintaining that the vehicles would be vital for effective tax collection operations. The FBR faced a Rs 386 billion shortfall in the first half of FY25, collecting Rs5,623 billion against a target of Rs 6,009 billion. Despite this, Langrial remained confident about meeting the annual target. On another front, Langrial announced that bids had been re-
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ceived for reinstating live tracking systems on vehicles and containers to enhance the transparency and security of goods transportation. The previous tracking system was discontinued to eliminate monopoly, and a new system with sensors for both vehicles and containers is expected to be operational within two to three months. Earlier, media reports highlighted concerns about increased smuggling risks after the temporary shift to human surveillance for monitoring Afghan cargo. Langrial clarified that the partial manual system is performing satisfactorily and that Karachi remains pivotal in tax collection due to its concentration of corporate head offices. Regarding the housing sector, the FBR chairman revealed that Prime Minister Shehbaz Sharif has formed a task force to address high transaction taxes, with reviews currently underway.
Following the federal government’s advice, Oil and Gas Regulatory Authority (OGRA) has notified a revision in the gas sale price exclusively for the General Industry (Captive) category, effective February 1, 2025. According to OGRA, the federal government, while responding to the OGRA’s determinations of SNGPL and SSGCL’s Review of estimated revenue requirement for FY 2024-25, has issued advice on gas sale prices. Following the government’s advice, effective February 1, 2025, the gas sale price for General Industry (Captive) has been revised from Rs. 3,000/MMBTU to Rs. 3,500/MMBTU. However, prices for all other consumer categories, including Domestic, Special
Roti Tandoor, General Industry (Process), Commercial, CNG, Cement, Fertilizer, and Power, remain unchanged. This revision was officially published in the official gazette and is also available on OGRA’s website. Earlier, OGRA had recommended a significant gas price hike to the federal government to recover Rs. 847.33 billion during the current fiscal year and address the growing circular debt in the gas sector. The regulator proposed an increase of Rs. 142.45 per MMBTU for Sui Northern Gas Pipelines Limited (SNGPL) consumers and Rs. 361 per MMBTU for Sui Southern Gas Company Limited (SSGCL) consumers. The recommendations outlined a flat rate of Rs. 1,778.35 per MMBTU for SNGPL consumers, up from the current Rs. 1,635.90, and Rs. 1,762.51 for SSGCL consumers, up from Rs. 1,401.25.
Khuzdar blast leaves one dead, seven injured: Police KHUZDAR
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An explosion near a Rawalpindibound passenger bus on Sunday left a man dead and seven others injured, police said on Sunday. Preliminary investigation suggested that an improvised explosive device (IED) was planted in an Alto vehicle parked near the road, which went off as soon the bus came nearby. A heavy police contingent along with Frontier Corps and
Levies forces personnel reached the site of the incident and cordoned off the area. “The passenger bus, travelling on the M-8 Highway from Khuzdar to Rawalpindi, was targeted near Khori, some 25 kilometres from Khuzdar City,” Khuzdar District Commissioner Yasir Iqbal Dashti told the media. Among the injured was the bus conductor, said to be in critical condition. The injured were immediately shifted to the Khuzdar Trauma Centre following the blast, DC
Dashti said. Officials said that the explosives were planted in an Alto car parked on the roadside. “It will be premature to say about the target of the bombing,” officials further said. The police said that the dead body and injured persons were shifted to Civil Hospital Khuzdar. No group immediately claimed responsibility for the blast. The country, particularly Balochistan and Khyber Pakhtunkhwa, have witnessed a sharp uptick in terror incidents over the last few months.