The government has acknowledged that taxes percentage on petroleum products is higher in Pakistan as compared to Bangladesh, Nepal and Sri Lanka. Sources told Business Recorder that the percentage of taxes on POL products was discussed in the last meeting of the Economic Co-ordination Committee (ECC) of the Cabinet, with special reference to current prices.
"Taxes percentage of POL and diesel is lower in Pakistan as compared to India, but it is on the higher side than Bangladesh, Nepal and Sri Lanka," sources quoted officials as having briefed the ECC.
As regards POL stock position, the ECC was informed that the oil marketing companies (OMCs) are holding a safe stock of all grades in the country. However, JP-1 is still below 10 days'' coverage, but with the resumption of National Refinery (NRL) production, the overall stock level would further improve.
The ECC was further informed that the Oil and Gas Development Company Limited (OGDCL) had made a new discovery near Kohat, which would provide 4000 barrels oil and 12 million cubic feet gas per day.
With the latest discovery, Pakistan''s oil production capacity would increase from 65,000 to 69,000 barrels per day. Besides, OGDCL has also made another medium-size discovery in Gurguri in NWFP, the exact estimates about the volume of gas and oil are yet to be finalised, the ECC was informed.