Senate Body for Vigorously Pursuing IPI Gas Project

ISLAMABAD: The Senate Standing Committee on Petroleum and Natural Resources has observed that Iran Pakistan India gas pipeline project was a very useful project and of great significance.

The Committee, which met at the Parliament House Monday under the Chairmanship of Senator Syed Dilawar Abbas taking stock of the fact that greater amount of oil and gas will be required not only to sustain the current growth rate but also to meet the future requirements.

It called upon the government to pursue the project vigorously. The Committee made these observations while having an update on Iran – Pakistan – India (IPI) gas pipeline project by the Ministry of Petroleum and Natural Resources. The Committee was informed that the IPI project is being developed to bring gas from the Iranian South Pars gas field through land route to Pakistan and India and that a Term Sheet was signed between Iran and Pakistan in 2005 for supply of 2 Bcfd natural gas for a period of 30 years. It was further told that an agreement on gas pricing formula has already been reached in January this year under which each country would build the pipeline in its respective territory.

The Committee, while considering the report of the Sub-Committee of the Standing Committee on alleged dumping of POL products by the PSO distributors or agents felt that as dumping is a serious issue and can be done in connivance with oil companies only expressed the view that PSO must improve its own system and take internal dumping control measures to arrest the trend so as to save the national exchequer from the loss of billions of rupees.

The Committee noted with regret the callous attitude of PSO officials for not facilitating the provision of required information to the Convener of the Sub-Committee Senator, Dr. Muhammad Ismail Buledi. The Committee, however, taking a lenient view, decided to drop the issue of breach of privilege of the Senator after the unconditional apology tendered by MD-PSO. The Committee directed the Pakistan State Oil to get their accounts audited by some reputable firm and submit the audited report to the Committee at the earliest. The Committee offered Fateha over the sad demise of Mr. Yameen Qadri, former PS to Chairman Senate Standing Committee on Petroleum and Natural Resources, who died of a severe heart attack at a very young age.

The meeting was attended, besides the Chairman of the Committee Senator Syed Dilawar Abbas by Senators, Haroon Khan, Dr. Muhammad Ismail Buledi, Muhammad Sarwar Khan Kakar, Saeed Ahmed Hashmi and Muhammad Talha Mahmood. Minister of State for Petroleum and Natural Resources, Mir Muhammad Naseer Khan Mengal and senior officials of the Ministry of Petroleum and Natural Resources and Pakistan State Oil were also present.