Cabinet Committee on Energy Approves Pakistan Oil Refinery Policy 2021

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