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ISLAMABAD: Foreign Minister Ishaq Dar, in his additional official capacity as the Deputy Prime Minister, has directed the Petroleum Division to suggest “appropriate amendments” to the Ogra Ordinance 2002, to introduce a mechanism for the adjustment of gas rates on monthly or quarterly basis.

He has also directed the authorities concerned to resolve the issue of rising circular debt in the power on priority, and to prepare a framework to implement the recent amendments made in the Petroleum Policy 2012.

Dar issued these instructions while presiding over the maiden meeting of the committee dealing with the issues of petroleum and industrial sectors, here on Sunday.

Heads of local and foreign exploration and production companies shared with Dar the concerns involving their projects in Pakistan in the wake of security challenges and rising circular debt.

The deputy PM directed that the issue of circular debt in the power sector be resolved on priority, said a statement issued after the meeting.

On security issues, he directed the Interior Ministry to work closely with the petroleum companies and relevant stakeholders, the statement added.

The meeting considered the recommendations to improve the financial system for offshore exploration, it said, adding that Dar also directed to prepare a framework to implement the recent amendments made in the Petroleum Policy 2012.

Private sector members of the committee expressed their concerns regarding the downstream gas sector, and stressed the need to open up the sector to private companies to improve its sustainability, the statement said.

Dar sought from the Petroleum Division the appropriate amendments on Ogra Ordinance 2002 for the adjustment of gas tariff on monthly or quarterly basis.

He directed the Interior Ministry to develop a dedicated one-window facility system at the federal and provincial levels to ensure security for operations in challenging areas.

The government is taking steps to increase foreign investment in the petroleum sector by resolving key issues of this sector, the official statement quoted Dar as having said in the meeting.

Copyright Business Recorder, 2024

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