LNG import contract: Rasheed accuses PML-N government of benefiting blue-eyed persons
Awami Muslim League's (AML) President Sheikh Rasheed Ahmed has accused the Pakistan Muslim League-Nawaz (PML-N) government of benefiting some blue-eyed persons in Qatar through government to government Liquefied Natural Gas (LNG) contract with Qatar Gas.
Talking to Business Recorder, here on Monday, he said that the PML-N led federal government is going to strike the LNG deal with Qatar government through one of Nawaz Sharif's close cronies, namely Saif-ur-Rehman, who is residing in Doha Qatar since long. He further accused the Nawaz Sharif administration of finalising the process on a fast track basis through assigning this special task to Pakistan's ambassador-designate to Qatar.
When asked what kind of benefit PML-N government would extend to Saif-ur-Rehman, he did not respond and instead stated that he would reveal all in future. When asked to comment on the allegations levelled by Sheikh Rasheed, a senior official of the Petroleum Ministry denied it, saying that due to such politically-motivated statements Pakistan has been unable to start importing LNG - the much-needed source of energy. At present, he added, LNG would cost Pakistan $17 per MMBTU but had Pakistan inked a deal in 2007/08 it would have been in the range of $8 to $10 per MMBTU.
Pakistan is facing a serious energy crisis since 2006 and to deal with this crisis the government is trying to import LNG. However, whenever the government comes near to inking a deal with any supplier, the entire process is derailed with accusations of conspiracy or corruption.
In October 2011, the Oil and Gas Regulatory Authority (OGRA) awarded capacity allocations to import 1.4 Billion Cubic Feet Per Day (BCFD) of LNG to three companies: Global Energy (500MMCFD), Engro Corporation (500MMCFD) and Gasport (400MMCFD), with first delivery expected by the mid of 2012, but the whole process was derailed due to legal proceedings and differences between the gas distribution companies ie SNGPL and SSGC over the LNG's tariff.
Again in February 2012, Pakistan singed a Memorandum of Understanding (MoU) with Qatar for the import of 3.5 million tons of LNG, per annum, but this process was also derailed as Pakistan did not meet the Qatari conditions of an LNG terminal. Now, the government has awarded LNG terminal construction contract to Elengy Terminal Pakistan Limited with the condition to complete it within a year and the construction of the terminal is under way.
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