OGRA lifts ban on issuance of new CNG licenses

After 12 years, the Oil and Gas Regulatory Authority (OGRA) has lifted the ban on the issuance of new CNG licenses.

According to the Pakistan CNG Association, OGRA has lifted the ban on new CNG licenses after 12 years and announced the issuance of new CNG licenses.

The Pakistan CNG Association says that those who want to install CNG stations on RLNG with new licenses can apply to OGRA.

Pursuant to the Oil and Gas Regulatory Authority (OGRA) Ordinance, 2002, and the provisions of CNG (Production and Marketing) Rules, 1992, issuance of a CNG license to any prospective investor/applicant falls under the exclusive domain of the Ogra.

The then caretaker prime minister, while receiving a presentation on review of power and gas situation inter-alia directed on January 6, 2008 that new CNG licenses in the pipeline to be held-up, the CNG connections should not be given except to those who have already imported CNG machines".

Later on April 18, 2011, the then prime minister imposed a moratorium on provision of new industrial and commercial gas connections across the country with immediate effect for a period of six months.

Before the expiry of the said moratorium, the then prime minister on September 30, 2011 while considering a summary submitted by the Ministry of Petroleum and Natural Resources (now Petroleum Division, Ministry of Energy) approved certain proposals with respect to the CNG sector, which were conveyed to the Ogra on October 4, 2011, for taking further necessary action and consequently the Ogra issued marketing licenses to the prospective applicants.