Day: September 13, 2021

Federal Minister for Privatization Muhammad Mian Soomro launched on Monday a nine-day activity of holding roadshows for the revival of Pakistan Steel Mills (PSM) in Islamabad. The roadshows will continue till September 21.

On the first day, the Federal Secretary and senior officers of the Ministry of Privatization, financial advisors, and investors participated in the roadshow. On the occasion, potential investors, including two international companies were briefed about the prospects of the revival of PSM.

In his remarks, Federal Minister Mr. Soomro said that investors from different countries showed keen interest in Pakistan Steels, which is a very encouraging sign. He said the Ministry, as per the directions of Prime Minister Imran Khan, was providing maximum information to interested investors. At the activity ends, the best possible investors will be shortlisted through a transparent process, he informed.

Source: Pro Pakistani

A meeting of the Cabinet Committee on Energy was held under the Chairmanship of the Federal Minister for Planning, Development and Special Initiatives, Asad Umar.

The Petroleum Division presented a summary of the Pakistan Oil Refinery Policy 2021 for approval by the Cabinet Committee on Energy (CCoE), according to a press release by the Ministry of Planning, Development & Special Initiatives.

The proposed policy was discussed in detail. The Chairman of the Committee appreciated the work and efforts of the Petroleum Division and the highly knowledgeable and experienced professionals involved in the formation of this policy.

The CCoE approved the Pakistan Oil Refinery Policy 2021 in principle. However, it directed the Petroleum Division to revisit the upfront incentive package offered to the existing refineries in the country.

The Power Division submitted a report by the Implementation Committee on the ratification of the Independent Power Producer (IPP) Agreement under the 2002 Power Policy. After a detailed discussion, the Committee approved the final report and directed the Power Division to proceed with the payments of all 11 IPPs, as per the signed agreement, except for a company whose cases are under investigation at National Accountability Bureau (NAB).

Due to the limited availability of natural gas during winters, the consumers need alternate affordable resources for meeting heating requirements. Hence the winter incentive package for electricity consumers from 1st November 2021 to 28th February 2022 was submitted by Power Division and approved by CCoE. The CCoE directed the Power Division to add K-Electric (KE) to the package as well. The committee also directed the Petroleum Division to submit an inverse gas pricing mechanism for the same period within this week.

The meeting was attended by Minister for Finance, Minister for Energy, Minister for Maritime Affairs, Minister for Railway, SAPM on Power, Petroleum & Revenue. Adviser for Commerce and Investment to Prime Minister. Representatives of regulatory authorities and senior officials of Ministries/Divisions also participated in the meeting.

Source: Pro Pakistani

A virtual meeting was held today between Omar Ayub Khan, Minister for Economic Affairs, and Hani Salem Sonbol, CEO of International Islamic Trade Finance Corporation.

The aim of the meeting was to discuss the scope of International Islamic Trade Finance Corporation (ITFC) financing for broader trade activities in Pakistan under commodity financing.

The Minister for Economic Affairs expressed his appreciation about how the ITFC arranged financing of about $7 billion for the import of oil and LNG from 2008 to 2021.

Officials highlighted that Pakistan’s petroleum, oils, and lubricants (POL) financing requirement is higher and that the ITFC can get more financing than the existing $1.5 billion each year. They also deliberated how this financing facility may also be utilized for the import of food-related commodities.

Sonbol thanked Khan and appreciated Economic Affairs Department’s (EAD) interest in helping the ITFC meet short-term trade financing needs. He also encouraged the EAD to include other commodities in addition to POL products under the 4th Framework Agreement, which will commence from January 2021, and to increase annual financing from $1.1 billion to $1.5 billion.

He mentioned that the ITFC arranged two warehouse receipt financing workshops in Islamabad and Karachi during 2019, in collaboration with the EAD and State Bank of Pakistan.

Sonbol added that the ITFC would provide technical assistance for capacity building in the agriculture sector.

The CEO updated that the ongoing syndication is about to end and that $600 million will be available to Pakistan this month.

ITFC assured officials that Pakistan and investment in trade financing and meeting the country’s POL procurement requirements is the top priority for the corporation.

Source: Pro Pakistani

The federal government is likely to declare operational emergency for purchasing Information Technology (IT) equipment to upgrade the Federal Board of Revenue (FBR) data center.

Sources told ProPakistani that the federal cabinet will also deliberate on the Revenue Division summary regarding the declaration of operational emergency in terms of the Public Procurement Rules, 2004. Former Chairman FBR Asim Ahmed, being principal accounting officer of the Revenue Division, has already declared an operational emergency for the procurement of IT equipment. Now the Revenue Division has requested the cabinet to endorse the Revenue Division decision.

The government will amend the PPRA rules and allow FBR to purchase IT equipment without a tendering process for the upgradation of its data center.

FBR requested the government to amend the rules after a cyber attack on the data center on August 14, 2021. Sources said that FBR wanted to build a parallel system in order to avoid data hacking in the future, so the FBR authorities proposed a request to the government to amend the rules.

Sources said the cabinet will also deliberate on the ‘Grant of 10% adhoc relief allowance on basic pay to the members of Parliament and Chairman/Speaker as well as the deputy chairman/deputy speaker’.

Earlier, Prime Minister Imran Khan, after the approval of the budget 2021-22, rejected the proposal of the Cabinet Division with regard to increasing pay as well as allowances of the cabinet members.

The Cabinet Division had proposed an increase in the pay and allowances of the Federal Ministries, Advisors, and Special Assistants to the Prime Minister. The cabinet will also take up the Commerce Minister’s summary on the reduction of additional customs duties for vendors under SRO 655(1)/2006 and on heavy commercial vehicles.

The Ministry of Finance will also present its report on the remuneration of the Chairman and members of 20 regulatory authorities. Sources said that the cabinet will discuss the revenue division’s waiver of panel surcharge along with other agenda items.

Source: Pro Pakistani