2nd LNG terminal: TI urges NAB to probe 'collusion'

27 Dec, 2015

Transparency International (TI) of Pakistan has urged National Accountability Bureau (NAB) to investigate alleged collusion in the second LNG terminal at Port Qasim to favour a single party. This was the crux of a TI letter to Director General NAB, Karachi, a copy of which has also been sent to Secretary to the Prime Minister, Fawad Hasan Fawad, Sohail Muzaffar, Chairman NAB and other top offices of the country.
Chairman TI (P) cited a letter written by the Secretary PQA suggesting that following a dispute in the first LNG terminal which is under a NAB investigation, there is a need to resolve all issues prior to the issuance of tender documents for the second terminal which must include (i) the period of BOT contracts with Port Qasim should be same as the period of contract to be signed with SSGCL, which may be 15 years;(ii) the FRSU should be transferred to Port Qasim on completion of BOT period ie 15 years;(iii) the capacity charges are allegedly illegal in the first LNG terminal and should not be allowed in the second terminal and all the cost should be included in the tolling charges by the bidders and ;(iv) the royalty to Port Qasim by terminal operator should not be less than latest royalty paid to Port Qasim by Pakistan International Bulk Terminal which is 50 per cent of the revenue, in this case more than 50 per cent of the tolling charges.
TI(P) has requested NAB to advise the Government Holding Private Limited to follow NAB instructions issued on PPRA process vide its letter No 5-2(75) pre/A&P/NABHQ/2013 to post the tender documents on the website so that bidder may download the tender and submit it with a non-refundable fee of $100.

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