Government asked to withdraw proposed raise in GIDC

The coalition partners have asked the govt to withdraw proposed increase in Gas Infrastructure Development Cess (GIDC) on Compressed Natural Gas (CNG) from July 1, 2012. Coalition partners including Awami National Party (ANP) and Muttahida Quami Movement (MQM) urged this while taking part in the budget debate in Senate here on Monday.
Talking part in the budget debate Ilyas Bilour of ANP and Tahir Mushhadi of MQM termed the planned increase in GIDC unnecessary and unjustified. Both of the senators were of the opinion that the government in the fiscal budget 2012-13 has ignored resolving the core issues like growing rate of unemployment, capital flight, energy crisis and worsening law and order situation.
Bilour said that the strike by the All Pakistan CNG Association (APCNGA) crippled the country, as the masses were forced to reach at their destination by feet due to low mobility as most of the public service vehicles using CNG remained off the roads. He stated that the government was totally failed in resolving energy crisis during the past four years "Had the government focused on hydel power generation and other means of electricity generation instead of bringing Rental Power Plants (RPPs) Pakistan would not have been faced the current energy crisis," Bilour maintained.
The government should earmark Rs 600 billion for power generation projects instead of Rs 183 billion as energy crisis has hit hard the country's economy. He said that Pakistan was passing through the most difficult time of its history and closure of CNG like sector would further increase unemployment, saying that CNG sector has provided direct jobs to nearly 50,000 people and an additional 1,00,000 people are indirectly related to CNG.
He also suggested the government to reopen Nato supply route, saying that European Union (EU) and United State could harm the country stability by using their international influence. Mushadi urged the government to tax the agriculture income of the big land owners, adding that only 2 percent of the farmers hold 77 percent of the agriculture lands in Pakistan. These farmers are earning millions of rupees from agriculture, but are out of tax net, consequently the country is losing billions of rupees as they are not paying a single penny to the national exchequer.
He said that the government has failed to provide any relief to the poor masses. "This is a budget of the elite by the elite and for the elite," Mushadi added. He said that the government is largely relying on indirect taxes and has nothing done to increase revenues, saying that curtailing the fiscal deficit the government is increasing prices of petroleum products, gas, electricity and other essential items of daily use.
Senators from opposition as well as from treasury benches, while showing grave concern over the increasing prices of daily use items, spreading unemployment, worsening law and order situation, deprivation among the masses and worsening energy crisis called upon the government to form such a short run and long run policies, which could resolve national crisis.
The members of the house also expressed serious concern over the increasing cost of electricity, gas, essential kitchen items, capital flight and declining business activities in the country as well as a massive brain drain from Pakistan, saying that during past four years thousands of doctors and engineers have left the country. Senator Dr Saeeda of ruling Pakistan People's Party, Saeed-Ul-Hassan Mandokhail and Mudasir Sehar Kamran also took part in the debate.