Increased gas import to help govt save up to $700m in two years: APCNGA

ISLAMABAD: Group leader of the All Pakistan CNG Association (APCNGA) Ghiyas Paracha, on Monday, said increased import of gas will help the government save $350 to $700 million in two years.

He said this, while leading a delegation that met with Finance Minister Shaukat Tarin in a bid to get their outstanding issues resolved.

Paracha briefed the finance minister about the problems and suggested long-and short-term solutions that include freezing prices of RLNG for the CNG stations on the level of August-March and a 12 percent increase in sales tax should be reversed.

He also demanded abolishing customs duty on gas imports, and informed that gas consumption shows that imports will have to be doubled from 100mmcfd to 200mmcfd.

India and European countries are increasing utilisation of gas in the transport sector due to increasing prices of petroleum products in the international market, while we already have the best system available which should be utilised, he demanded.

Paracha said that the private sector should be allowed to import gas, which will reduce the risk of the government, the circular debt will be reduced, and the urban pollution will be reduced as 1.8 million trees have been planted in cities.

He said that gas sector liberalisation will end load shedding, which will create half a million jobs in the transport and industrial sector, production costs will go down, fares will be reduced, and cheap fuel will boost the energy sector, while providing relief to the masses.

On the occasion, the finance minister said that the government is trying to reform and liberalise the gas sector, so that it can develop rapidly.

He directed the secretary finance, secretary petroleum, the chairman FBR, the chairman Ogra, and other officials to hold meetings with the APCNGA officials, look deeply into their demands, and furnish recommendations to reduce taxes and improve supply.

The APCNGA delegation comprised of its Central Chairman Khalid Latif, Fali-e-Muqeem Khan, Pervaiz Khattak, Syed Sajjad Haider, Irfan Ghouri, Babar Aftab Qazi, and Chaudhry Salahuddin.

Copyright Business Recorder, 2021