ISLAMABAD: Petroleum Minister Dr Asim Hussain on Friday approved Tight Gas Policy, saying that the government is focussing on exploration and extraction of gas in the country to overcome energy shortage. He was chairing a meeting of heads of gas exploration companies. Dr Asim said that the 2009 Gas Policy would be revised and new 2011 Gas Policy would be issued with a better pricing structure to encourage investment in gas exploration and extraction sector.
He said that Pakistan has huge reservoirs of gas which are untapped and co-ordinated and coherent efforts are required both from the government and the private sector. He said that the government would encourage and facilitate exploration at non-traditional avenues such as offshore exploration and would soon offer bonanza and incentives for the explorers. Dr Asim also assured the participants of the meeting that the government would soon announce a policy for Low Btu Gas.
Addressing security concerns of the companies working in Balochistan, the minister said that the companies should take the locals on board to ensure their security and the government would take appropriate measures to safeguard the life and property of the employees of exploration companies. He said he would co-ordinate with the Federal Bureau of Revenue to settle the issue of taxes and duties.
The minister further said that the ministry of petroleum was vigorously pursuing the energy exploration activities in Pakistan to meet the growing energy requirements. Dr Asim added that leases for exploring blocks would be cancelled and would not be renewed if the companies were not able to meet their commitment within the specified time. Previously, the contracts of the exploration companies were extended even if they were not able to complete the exploration within the stipulated time. He stressed that the performance of the exploration companies would be monitored regularly to ensure timely completion of the contracts.
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