The Econ-omic Coordination Committee (ECC) of the Cabinet has decided to approve the increase as per recommendation of Oil and Gas Regulatory Authority (OGRA) in prices of petroleum products, except petrol price, and proposed Rs 9.34 per liter increase in petrol price to the federal cabinet. An official said that the ECC meeting chaired by Advisor to Prime Minister on Finance Dr Abdul Hafeez Shaikh approved partial increase of Rs 9.34 per liter in petrol price against Rs 14.37 per liter recommended by the OGRA. He added if the proposed increase is approved by the federal cabinet, new price of petrol would be Rs 108 per litre.
The Finance Ministry stated in a press release after the meeting that ECC decided to reduce the GST on petrol by 5% to provide relief to consumers. The GST on petrol has been reduced to 12 percent from 17 percent and the reduction will entail a revenue loss of around Rs 5 billion to the government.
Sources said the ECC has approved the increase in the prices of other petroleum products as per recommendation of OGRA and decided to recommend the price increase as it is to the federal cabinet for approval. The OGRA has recommended Rs 121.82 per liter high speed diesel price after an increase of Rs 4.39 per liter, light diesel at Rs 86.94 per liter after an increase of Rs 6.40 per liter and kerosene oil price at Rs 98.77 per litre after an increase of Rs 7.45.
The ECC also considered various proposals submitted by ministries/divisions and was given a presentation by Industries & Production Division on the findings and recommendations of the Expert Group constituted to work out an operationalisation plan for the revival of Pakistan Steel Mills.
The ECC approved the recommendations of the ministry and directed that the due process be completed for listing of PSM for privatisation with a view to implementing the revival plan based on private sector inputs and collaboration.
The ECC approved the proposal of Petroleum Division to allocate gas from Thal East, Bhambhra and Thal West Fields to M/s SSGCL. Industries Division also updated the ECC on Ramazan Relief Package and informed that Utility Stores across the country are being stocked to cater for the Ramazan shopping.
The ECC also approved supplementary grants and technical supplementary grants for different ministries/divisions. It also approved payment of salaries to Khassadars of South Waziristan.