On the directives of President General Pervez Musharraf, the Petroleum and Natural Resources Ministry has initiated inquiry against the Oil and Gas Development Company Limited (OGDCL) into alleged allocation of LPG quota case. Sources said that the investigations against the OGDCL management have been initiated on the complaint of SHV, a non-resident company dealing in LPG business in Pakistan which had pointed out at the highest level that the OGDCL has violated the rules while allocating LPG quota to the marketing companies.
The sources said that Petroleum Minister Amanullah Jadoon has appointed a senior officer of his ministry for investigations into the case.
The letter issued by the minister for investigation said that LPG price issue was discussed both at the ECC and the cabinet levels. It added that the minister believes that transparency in the matter of allocation of LPG quota could be harbinger of price stabilisation and it should be the hallmark of the government organisation such as the OGDCL.
Jadoon said that he has received a copy of letter addressed to the president from SHV wherein it brought to the notice of the president that despite its high credentials being one of the most reputed LPG companies in the world and having fulfilled all the requisite formalities, it has not been considered by the OGDCL for allocation of LPG quota.
The OGDCL had recently made temporary allocations of 10 MT/day each to 10 LPG companies, out of which two belonged to the same family - the companies held in the names of wife and husband - and both were allocated 10 MT/day LPG by the OGDCL.
In addition, two other companies with the same owner were also allocated LPG by the OGDCL in the same proportion. The companies in the south seem to have been given preference while the LPG requirement is more pressing in the north. SHV business of LPG is stated to have substantial base/network in the north.
The minister said that the situation needs a thorough probe, therefore, an in-depth inquiry in the matter may be initiated by the JS (Admin) who will look into complete record of the companies to find out if the allocation was made in a transparent manner or otherwise.
He also ordered that relevant record of such allocations made during the last three years might also be checked for the purpose.
According to Jadoon, SHV is likely to meet the president soon so he wants submission of inquiry report duly supported with necessary evidence/facts by November 25, positively.
Reliable sources confirmed to Business Recorder that the inquiry against the OGDCL management for alleged violation of rules for allocation of LPG quota is underway and its final report would be submitted to the Petroleum and Natural Resources minister within the next few days.
Unearthing of a case of misuse of power by the OGDCL - a public sector oil and gas company - for LPG quota allocation has come as a serious blow to the government efforts meant to establish a corruption-free culture in the country.
The president had taken serious notice of a similar complaint in the past and issued clear directions in 2003 to the then petroleum secretary Abdullah Yousuf that he should take all possible measures to ensure that LPG quota was being allocated on the basis of merit and not on the rules of pick and choose.