Islamabad,December 19,2024: The Senate Standing Committee on Petroleum,chaired by Senator Umar Farooq,convened today (Thursday) to discuss the gas shortfall and gas exploration conducted countrywide to meet the nation gas demand.
The officials told the committee that the gas dwelling has been carried out at 56 different locations over the last three years with the total expense of around 1,230 Million USD. Approximately, around 7,696 Barrels Oil and 260 MMCFT gas has been produced daily from these explorations.
Senator Qurat ul Ain Marri inquired about the alleged gas containment. DG Gas informed that gas has been contained at North side,however, gas shortfall at southern region is mainly due to gas depletion. Additionally, the gas has been contained due to low demand of Power Sector as it is economically unviable to sell gas at the rate of Rs. 1200 domestically which is being sold to power sector at the rate of Rs. 3600.
Moreover, gas pipeline has not capacity to store gas beyond certain point and the country lack storage capacity. Senator Qurat ul Ain Marri lamented the Petroleum division,stating that despite not having any system in place to transmit and store domestically produced gas the government has agreement with Qatar for gas imports and above all,Gas companies have been spot buying from Azerbaijan at inflated rates. She argued that all the domestically produced should be introduced into the system. The Committee deferred the matter stating that the Minister for Petroleum will briefed the committee on the issue.
The Committee also expressed reservations on the vacant post of DG Petroleum Concession. It is unfortunate that the post of DG PC has been vacant for last four months and the ministry could not find any suitable eligible individual for the Position. The Committee recommended the ministry to fill the vacant post of DG PC at the earliest.
Furthermore, the Committee deliberated on the Private Member Bill “The Pakistan Minerals Regulatory Authority Bill,2024”. Senator Mohammad Abdul Qadir,the bill’s mover, stated that the purpose of the bill is to establish the authority at federal level to promote the mineral industry. The Committee opined that the subject of ‘Mineral’ is devolved and fall under the ambit of provinces. However, the proposed authority could not be established at Federal level.
Additionally, the committee was briefed by MD PMDC on the acquisition of 09 kanal and 06 kanal land from the Peshawar Development Board for establishing PMDC office and an employees colony. Officials apprised that PMDC offices has been constructed on the 06 kanal land which was bought for commercial purposes. However, the 09 kanal land acquired for residential could not be utilized and the matter is pending before the court. The PMDC is looking for settlement of 09 kanal with Peshawar Development Authority and it will be resolved soon.
While discussing the working and performance of Government Holdings Private Limited (GHPL), officials informed that the entity is owned by Government of Pakistan and its objectives is to maximize energy production with sustainable return. GHPL earned its revenue majorly from oil and gas and the entity has a record profit during the last financial year.
In attendance were Senators Qurat ul Ain Marri,Saadia Abbasi,Mir Dostain Khan Domki,Sardar Al Haj Muhammad Umer Gorgaij,Raja Nasir Abbas,Mohsin Aziz,Mohammad Abdul Qadir,Secretary for Petroleum Division Momin Agha,Chairman OGRA Masroor Khan and other senior officials from relevant Departments.