ISLAMABAD - The Economic Coordination Committee (ECC) of the Cabinet would meet on Thursday (today) to discuss several issues including remaining payment of Rs 181b to the IPPs and import of LNG from Qatar to Pakistan.
Sources said that ECC, which would meet under the chair of its chairperson finance minister Senator Ishaq Dar, would take up several summaries moved by various ministries. ECC would decide to release remaining Rs 181 billion to IPPs, as government has already paid Rs 322 billion to the Independent Power Producers. Earlier, the ECC has decided to liquidate balance of circular debt before 21 July to give relief to the people of Pakistan from power outages.
Sources further said that ECC would discuss the petroleum ministry’s summary on three-point framework that was carved out to materialise the import of the LNG from Qatar. Qatar has agreed to supply 500mcfd LNG to Pakistan to resolve energy issue. According to three-point framework the Sui Southern will convert the LPG storage terminal into LNG terminal through retro fitting. To materialise this alteration, the government would soon issue the tenders to select the company for retro fitting of LPG terminal and the company which will do retrofitting and convert the LPG terminal into LNG terminal will be paid through tolling charge. For 200 mmcfd LNG, the LPG terminal of Engro Pack will be used after the retrofitting process. The LPG terminals of both the companies will be converted into LNG terminal in 7 months period. However, for import of 500-1000 mmcfd LNG, the government would establish new terminal through the international competitive bidding process (ICB). The Engro Company has assured the government to help install the LNG terminal within 12-15 months if govt enters into a deal with it after transparent process. However, the sources said that the import of LNG is not possible at a price less than $17 per mmbtu. The ECC would also review inflationary trend. The ECC would discuss the overall economic situation.