Finance Minister Senator Ishaq Dar has directed a committee headed by Finance Secretary, Dr. Waqar Masood to formulate recommendations immediately with regard to provision of natural gas at concessional price to M/s Tuwairqi Steel Mills Limited (TSML), well-informed sources told Business Recorder.
TSML''s management was running from pillar to post for implementation of a commitment made by the then government of Shaukat Aziz. The sponsors would be forced to shut down the mills and more than 1,000 employees will lose their jobs if the government does not supply natural gas at concessional rates, sources told this correspondent.
Ministry of Industries and Production recently submitted a summary for provision of natural gas to TSML at concessional rates but the Finance Minister constituted a committee under the chairmanship of Finance Secretary to look into the proposal.
"A committee was constituted on July 17, 2014 to deliberate upon the issue and finalise its recommendations for provision of natural gas as feed stock in the Direct Reduced Iron (DRI) to Tuwairqi Steel Mills Limited (TSML) on concessional rates under the convenor ship of Secretary Finance," the sources added.
The ECC also decided that Chairman Board of Investment (BoI) may also be included in the said committee. The committee has been asked to prepare a final report for the ECC in its next meeting.
The ECC was informed that since June 6 2013, 32 meetings of the ECC have been held wherein a total number of 158 decisions were taken. 125 decisions have so far been implemented whereas 33 decisions are at various stages of implementation and a number of decisions have been partially implemented. The details of the un-implemented decisions were also placed before the ECC.
The meeting considered the progress reports of the decisions being implemented by the relevant Ministries/Divisions and expressed satisfaction over the progress achieved. The meeting, however, observed that there was a need for the concerned Ministries and Divisions to accelerate the process of implementation of the decisions pertaining to them.
After detailed discussion the ECC took the following decisions: (i) all pending ECC decisions should be followed up vigorously for implementation. All concerned Secretaries should be reminded of early implementation of ECC decisions and submission of implementation reports which may be furnished in the next meeting of the ECC of the Cabinet; (ii) draft bill for amendments in OGRA Ordinance to Monitor/Establish Prices of Oil Refine Products may be submitted in the next meeting of the ECC of the Cabinet; (iii) Finance Division has made an allocation of upto Rs. 2 billion subsidy for the Relief Package for Ramzan-2014. It was revealed that Rs.1 billion has already been released to the Utility Store Corporation and balance amount will soon be released subject to final adjustment based upon reconciled claim; (iv) It was directed that adequate gas supply should be made available to the domestic fertilizer companies for utilising the maximum production capacities of the Nation Fertilizer Manufacturers. It would not only save the much needed foreign exchange and the amount given in subsidies but would also support and strengthen our domestic industry; (v) The Auto Industry Policy Draft should be submitted in the next meeting of ECC for approval; and (vii) the draft bill on policy framework for Regulation of Organisation Receiving Foreign Contribution should be submitted for consideration of the ECC of the Cabinet.