ISLAMABAD: The Senate on Thursday passed Oil and Gas Regulatory Authority (OGRA) (Amendment) Bill, 2022, amid protest from opposition members.
The bills were moved by Minister of State for Parliamentary Affairs Ali Muhammad Khan. Opposition members opposed the amendments in OGRA Bill, terming it against provincial autonomy.
PPP Senator Sherry Rehman claimed the government is following the directives from the International Monetary Fund (IMF) and the Senate should be made a part of it. Later, the opposition staged a walkout from the House.
Taking the floor, Minister of State for Parliamentary Affairs, Ali Muhammad Khan, said that the government will not take any step against the constitution and will ensure provincial autonomy.
After the opposition’s walkout., the Upper House of parliament passed the amendments in the OGRA Bill. Minister for Science and Technology Shibli Faraz said these are aimed at further empowering the regulator.
Earlier, the Senate Standing Committee on Cabinet approved two amendments in ‘Oil and Gas Regulatory Authority (Amendment) Bill, 2022’, allowing the authority to notify gas prices within 40 days without waiting for the decision of the federal government, one of the conditions of the IMF.
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Both bills were already approved by the National Assembly’s Standing Committee. The bills were moved by Ali Muhammad Kha which were referred to the committee during the Senate session in January 2022. Rana Maqbool Ahmad chaired the meeting of committee.
OGRA Chairman Masroor Khan explained that in case the government did not take any decision on the recommendations of OGRA on Estimated Revenue Requirements of Sui Northern Gas Pipeline Ltd (SNGPL) and Sui Southern Gas Company (SSGC) within 40 days, then OGRA would notify the gas prices without waiting of the federal government’s decision. He further said the condition of 40 days was not in the law.
An OGRA official explained that individuals and companies took the delay in notifying the gas prices to the courts, and 40 days period would discourage this practice.
In the second amendment, OGRA chairman said that Petroleum Levy (PL) Ordinance, 1961 did not have word “RLNG” as non-available at that time. The amendment was an administrative measure to mix both natural and imported gas.
The committee also constituted a sub-committee to probe the hike in the prices of petroleum products up to Rs12 per litre despite enough oil was in stock and deferred oil payment facility from Saudi Arabia. Chairman Committee Rana Maqbool Ahmad lamented the OGRA and the NEPRA authorities, saying that this increase in prices is unjustifiable.
Ali Muhammad Khan informed the Committee that increases in petroleum products is due to international hike in prices and assured that the government will ensure that the subsidy remains intact. The chairman committee constituted a sub-committee to discuss the reasons behind the increase in oil and electricity prices and submit a report.
