ISLAMABAD, (Pakistan Point News - APP - 18th Jan, 2017 ) : Minister for Petroleum and Natural Resources Shahid Khaqan Abbasi on Wednesday informed the Senate that the government was pursuing implementation of the Iran Pakistan Gas Pipeline Project. In a written reply, the minister said that for implementation of the project, Pakistan has requested Iran for amendment in the Gas Sales and Purchase Agreement (GSPA) allowing both parties to complete the project in the extended period.
He said that a draft amendment has also been shared with the Iran in this regard. The President of Iran visited Pakistan on March 26-27, 2016 during which the project also came under discussion. He said that it was agreed by both sides to revive discussion on the project in the wake of removal of international sanctions on Iran. Pursuant to the meeting, Iranian side has invited Pakistan for meeting. Pakistan delegation is expected to visit Iran shortly for which necessary approval has been sought from the competent authority.
He said that an allocation of Rs 25 billion has been made in the budget 2016-17 under the head GIDC for utilization in connection with gas infrastructure development, which includes Iran-Pakistan Gas pipeline Project. The minister said that exploration and production companies are required to deposit social welfare fund in the joint account with Deputy Commissioner, maintained in the concerned district. He added an amount of US$ 2.565 million have been collected during the last three years under the head of Social Welfare.
He said that seventy percent of the diesel is imported from Kuwait under the long term contract between PSO and Kuwait Petroleum Company (KPC). Other products are imported by Oil Marketing Companies (OMCs) from United Arab Emirates (UAE), Singapore, Malaysia, Europe and other countries in the Gulf region. He said that under Atricle 78 of the Constitution of the Islamic Republic of Pakistan, all revenues received by the Federal Government form a part of the Federal Consolidated Fund. The receipts from Petroleum Levy, therefore, also become a part of the Federal Consolidated Fund. APP/ya/rn