The Ministry of Petroleum and Natural Resources has formally asked the federal cabinet to approve, including in the consumer tariff, the financial impact of gas theft, non-recovery, gas loss due to security situation, leakage and village gasification on political considerations and other system losses.
On top of that, the ministry has also proposed that incomes from non-core activities like late payment surcharge, meters manufacturing plant, royalty from joint ventures and sale of liquefied petroleum gas (LPG) and condensate be also treated as non-operating incomes, according to a summary circulated to various ministries.
This decision was taken last week at a meeting, led by petroleum minister Shahid Khaqan Abbasi and attended by Oil and Gas Regulatory Authority (Ogra) chairman Saeed Ahmad Khan, on the request of Ogra that had been exercising its regulatory powers in rejecting all these demands for more than a decade.
