LAHORE: The government should resolve problems faced by oil marketing Companies immediately. The FIA should stop harassing oil marketing companies. Oil and Gas Regulatory Authority (OGRA) should renew the licenses of oil marketing companies.
There is a risk of an oil crisis in the country due to the non-renewal of licenses. The sector, which contributes 25 percent to revenue, is in trouble. Instead of facilitating business, difficulties are being created. Turnover tax should be 0.25% instead of 0.75%.
These views were expressed by Khawaja Shahzeb Akram, Senior Vice President of Federation of Pakistan Chambers of Commerce and Industry (FPCCI), while addressing a meeting of the FPCCI Central Standing Committee on “Oil Marketing Companies” here at FPCCI Regional Office Lahore.
Shahzeb further said that policies formulated without the consultation of stakeholders could not be effective. The government should take the oil marketing companies into confidence and resolve all issues immediately in consultation with all stakeholders.
Convener of FPCCI Central Standing Committee on “Oil Marketing Companies” Tariq Mahmood and other officials expressed their concerns and said that 0.75% turnover tax was imposed, which should be reduced to 0.25% according to other industries. Meritless notices are issued by the revenue and customs authorities, they added.
Due to the shallow margins of oil marketing companies, this sector is facing serious risks. The government should immediately focus on solving the problems of oil marketing companies so that investment does not shift from Pakistan to other countries.
Tariq added that if the government does not take immediate action, many investments will move from Pakistan to other countries.
The meeting was also attended by Tariq Wazir, Mahmood Ali, Mehar Arshad, Zeeshan Tayyab, Zafar Mahmood, Ahsan Majeed, Shakeel Baig, Ilyas Fazil and other members.
Copyright Business Recorder, 2021