Government charging no GIDC on imported gas, NA told

The government is charging no Gas Infrastructure Development Cess (GIDC) on imported gas (re-gasified liquefied natural gas) as compared to the domestic gas to make it viable in the country. Minister for Petroleum and Natural Resources Shahid Khaqan Abbasi informed this to National Assembly on Monday during the question-hour.
"There is a huge gap in supply and demand of the natural gas, therefore, taxes on the RLNG are less as compared to domestically produced gas to make it viable in the market," he said.
The minister said if the taxes are imposed on the imported gas, it would not remain viable as an alternate source of energy in the country. According to the details, the government is charging Rs 300 per MMBTU GIDC on fertilizer feed stock, Rs 150 per MMBTU on fertilizer fuel stock, Rs 263.56 per MMBTU on CNG in region-I, Rs 200 per MMBTU on CNG in region-II, Rs 200 per MMBTU on captive power and Rs 100 per MMBTU on WAPA/KESE/CENCOs, independent power plants (IPPs) and general industry each in domestically produced gas while this tax is zero on the imported gas.
He informed the House that 600 billion cubic feet imported gas is being used in the country and this has helped run the industry including fertilizer plants and others.
The imported gas is available for consumption of everybody, he said, adding the quantum of the taxes varies for different categories of consumers depending on the consumption by each sector and applicable gas sale prices.
To another question, the minister informed the House that LNG has been imported since March 2015 and so far 58 LNG cargoes have been imported in the country.
Both the gas utilities, ie SNGPL and SSGC have reported that no loadshedding is being observed in the country, he said, adding that load management/curtailment is being done in low priority sectors to provide uninterrupted gas supply to top priority domestic and commercial consumers.
This has become possible due to injection of 40 MMCFD gas from Mardan Khel, injection of re-gasified LNG (RLNG) into the system, he said, adding that both the gas utilities are taking re-enforcement schemes to boost up undersize network along with replacement of leaky and old networks.
Members of PTI and JUI-F member Naeema Kishwar earlier protested against the government and minister for petroleum and natural resources for allowing Adviser to Prime Minister Amir Muqam to inaugurate new gas connections in different parts of Khyber Pakhtunkhwa.
The minister said that moratorium on new gas connections in the country is intact but some new schemes are allowed after approval of the cabinet.
He said the federal government is releasing funds for some new gas supply schemes and "the rule is simple whoever will give funds for the schemes, will inaugurate them."