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Explosives Department, Ministry of Industries and Production has accused Oil and Gas Regulatory Authority (Ogra) of violating Ogra Ordinance 2002 by encroaching on its powers, Business Recorder has learnt.
Explosives Department of Ministry of Industry has lodged a strong protest after Ogra directed LPG marketing companies to obtain separate licences for LPG tankers/browsers and storage and filling plants citing safety concerns. Explosives Department argues that public safety and health do not come in the purview of Ogra according to Ogra Ordinance 2002. Chairman Ogra, Tauqir Sadiq in his statement issued on March 17, 2011 said that Ogra had issued eight provisional licences for construction of LPG storage and filling plants.
"In view of Ogra Ordinance 2002, Ogra is empowered to regulate the CNG and LPG with respect to pricing, marketing, product supply, tariff, distribution, tax exemption," Explosives Department stated adding that Ogra's objective is to foster competition, increase private investment and ownership midstream and down-stream petroleum sector.
The legal role of Department of Explosives is to ensure the public safety and health to regulate the activities with respect to import, export, manufacturer, storage, transportation, distribution and use of explosive materials and CNG, LPG, LNG and inflammable materials like motor fuel oils and other petrochemicals. Department of Explosives also grants licences to import, manufacture for any sort of pressure vessel/containers/cylinders for filling, storage, transport and dispensing of CNG, LPG and LNG including all industrial compressed/liquefied gases keeping in view the safety of human life and property.
Department of Explosives has also said that after Partition the Petroleum Act 1934 and Explosives Act 1884 and rules framed thereafter were adopted as the law in Pakistan and said Act and Rules are administered by Ministry of Industries and Production through Department of Explosives.
"Moreover, any gas when contained in any metal container in a compressed or liquefied state has been declared as an explosive by central government," Explosives Department says adding "therefore, regulation of manufacture, possession, use, sale, transportation and importation of explosives, compressed and liquefied gases come under the purview of Explosives Act 1884, Petroleum Act 1934 and the rules framed there under, ie Explosives Rules 2010, Petroleum Rules 1937 and Mineral and Industrial Gases Safety Rules 2010".
Explosive Department of Ministry of Industries and Production has notified new Safety and Explosive rules in December 2010 that include: (i) Mineral and Industrial Gases (MIG) Safety Rules 2010; (ii) Explosive Rules 2010; and (iii) Amendment in Explosive Rules 2010.
In Office Memorandum, Explosive Department Ministry of Industries and Production states "it is worth mentioning that now Ministry of Industries and Production/Department of Explosives is the only regulator and authority of these Rules which have already been enforced from dates of notification".
Explosives Department of Ministry of Industries and Production has laid down the procedure for safety, which includes: (i) approved manufacturer by the government and (ii) Independent third party inspection. Marketing companies maintain that, on behalf of the government of Pakistan, Department of Explosives issues a license to operate the tankers which includes other petroleum goods' tankers. Marketing companies have obtained approval from Department of Explosives and these approvals are renewed every year after complying with standards by submitting fee to the government treasury.

Copyright Business Recorder, 2011

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