Pakistan’s Parliamentary Petroleum Committee has raised concerns about an upcoming agreement between Sui Southern Gas Company (SSGC) and Jamshoro Joint Venture Limited (JJVL), which will turn gas into liquefied petroleum gas (LPG) for private sale for private sale for national consumers.
The Permanent Committee of the National Petroleum Assembly, chaired by Syed Mustafa Mahmud, was informed about the country’s oil and gas reserves.
The authorities revealed that Pakistan lacks gas storage facilities, and discussions are being carried out to develop a storage plan. However, the Committee recommended project shelves, questioning your need.
During the session, the member of the Shahid Khan committee asked if a survey had been conducted to evaluate the natural reserves of Khyber Pakhtunkhwa, given its abundant resources. The Committee requested detailed findings at the next meeting.
The members of the Committee expressed reservations on the SSGC Agreement with JJVL, under which the company will convert the gas into LPG for the sale of the private market. SSGC officials admitted that the agreement would affect the availability of local gas.
“We are entering an agreement with JJVL, but it will affect the local gas supply,” said SSGC representatives. The Committee requested a detailed report on the agreement in the next session.
The absence of the Minister of State for oil caused criticism of the members of the Committee. “We understand that the secretary is out of the country, but the oil minister should have been present,” they said.
The deregulation of oil prices was also discussed. The committee members indicated that fuel dealers have concerns and recommended their inclusion in future discussions.
Officials of the Ministry of Petroleum declared that discussions were ongoing with respect to whether fuel prices should change daily or weekly.
They admitted that deregulation could negatively affect certain areas. “Currently, the Government maintains the uniformity of prices by covering RS12 per liter on margins, but no final decision has been made,” the authorities explained.
The president of Ogra dismissed the concerns about a fuel dealers strike nationwide, describing him as misunderstanding. “Distributors fear that oil companies will not offer them fair margins,” he said. The Committee summoned the president of Ogra and fuel merchants for the next meeting to address the concerns of deregulation.
