Import of CNG cylinders & kits: ECC may mull removing ban

02 Jul, 2014

A meeting of the Economic Co-ordination Committee (ECC) of the Cabinet scheduled for Saturday is likely to consider a Petroleum Ministry proposal on the removal of ban on import of CNG cylinders and conversion kit, it was learnt. The Ministry of Petroleum's proposal to remove ban imposed by the previous government on the import of CNG kits is inexplicable especially when the country is grappling with serious gas crisis, the official sources quipped.
The sources said that the Ministry of Petroleum had proposed to the ECC that original equipment manufacturers might be allowed to import CNG cylinders, kits and parts for conversion of vehicles at their manufacturing/assembling facility. The ministry had also cited Oil and Gas Regulatory Authority (Ogra) letters wherein it was pointed out that the ban on the import of CNG cylinders/conversion kits was leading to the installation of smuggled and unapproved cylinders in vehicles especially in public transport vehicles, which was hazardous to public life and safety. They added that Ogra wanted the government to revisit its policy on ban on the import of CNG cylinders and conversion kits.
The ECC would also consider a proposal of Cabinet Division on the issuance of NOCs for new CNG stations by Ogra despite the ban by the government. An official said that the issue of CNG stations was submitted to the ECC in April 2014, which after detailed discussion, referred the matter to the Law Ministry for its opinion on the issuance of provisional NOCs and subsequent conversion into commercial licenses of CNG stations by Oil and Gas Regulatory Authority (Ogra).
The ECC would also consider a proposal of the Ministry of Kashmir Affairs and Gilgit Baltistan Division on relaxation in repayment policy of the government for foreign funded projects of Gilgit Baltistan. The Ministry of Industries and Production has also submitted a summary to the ECC for consideration and approval of a decrease in the price of imported urea as one time dispensation as a special case.
Sources told Business Recorder that the ECC meeting chaired by Finance Minister Ishaq Dar would also consider a proposal of the Ministry of Commerce for the export of sugar and removal of ban on the import of live animals from Bovine Spongiform Encephalopathy infected countries. An official said that six proposals had already been distributed to the division concerned by the Cabinet Division.
The ECC would also take up a summary for lifting of ban on the import of live animals from Bovine Spongiform Encephalopathy (BES) infected countries, which was imposed in 2001 to protect and safeguard domestic cattle stock as well as the export of meat and other bovine products. The BSE infected countries include UK, Ireland, Belgium, Denmark Luxembourg, Holland, Spain, Germany, Italy, France Switzerland, Portugal, Finland, Canada and USA. According to Commerce Ministry not only USA, Canada as well as European countries have been requesting Pakistan to review its import policy regarding live animal and animal products but Pakistani importers have also been making similar demands.

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