Energy minister for steps to minimise circular debt, discourage sale of smuggled POL products

KARACHI-Federal Minister for Energy Muhammad Ali on Monday directed the Pakistan State Oil (PSO) management to take concrete measures for minimizing the circular debt while oil marketing companies (OMCs) were asked to take steps to discourage the sale of smuggled POL items.
The minister issued the directives in two separate meetings with the management of Pakistan State Oil and with a delegation of the heads of oil marketing companies (OMCs) here at PSO House Karachi, said a press statement issued here. The minister was briefed by the Managing Director PSO, Syed Muhammad Taha regarding the overall performance and challenges being faced by the state-owned Petroleum, Oils and Lubricants (POL) marketing company.
The meeting was attended by the Additional Secretary incharge Ministry of Energy Momin Agha, Chairman Oil and Gas Regulatory Authority (OGRA) Masroor Khan and other officers concerned. The Managing Director of PSO apprised the minister that the PSO had an extensive network of 3,500 outlets nationwide. He directed the PSO management of Pakistan’s leading energy company to take concrete and comprehensive measures to minimize the circular debt.
The minister also held a meeting with a delegation of the heads of oil marketing companies (OMCs) led by the Secretary-General of Oil Marketing Companies (OMCs) Dr. Nazir Abbas Zaidi. They said that a massive crackdown had already been initiated against the smuggling of POL products. He asked the oil marketing companies to take steps to discourage the sale of smuggled POL products through their outlets and contribute to the government’s efforts aimed at the prevention of smuggling. The OMC delegation raised their issues regarding losses incurred due to fluctuation in the foreign exchange value of the rupee, pricing formula, illegal outlets and also demanded to minimize the turnover tax.
Chief Executive Officer of Total Parco Pakistan Mehmet Celepoglu also joined the meeting through video conference. Mehmet appealed to the caretaker minister to formulate a uniform policy and reimbursement of the amount of difference in foreign exchange after conducting an audit in order to create uniformity among the companies. The Caretaker Federal Minister for Energy ensuring his complete support, directed the Chairman Oil and Gas Regulatory Authority and Additional Secretary Incharge, Ministry of Energy to address the issues on a priority basis.

ePaper - Nawaiwaqt