argued.
The fertilizer companies and the CNG industry wants to import LNG privately but are not allowed. But the ministry has unjustifiably nominated the said three sectors to bring them under sub section ‘C’ of Clause 6.3 of LNG policy so that they could not utilise the local gas.
Clause 6.3 of LNG policy clearly says (a) For RLNG supply to SSGC and SNGPL, the RLNG price will be an input for determining the weighted average cost of gas in Pakistan, determined by Ogra, for GoP specified consumers and industry;
(b) The LNG developer/ LNG buyer will have the right to sell RLNG to end users directly based on a negotiated price; (c) SSGCL/SNGPL will not sell gas priced under 6.3(a) to industries which are selected by GoP to use RLNG from time to time.
The official said that in case the plan gets implemented then the CNG price will surge over Rs90 per kg and the RLNG parity with petrol will also increase up to 85 percent despite the fact that the government has announced the parity price would remain at 30 to 35 percent. This will ruin the CNG sector in Punjab, which employs 300,000 people.
For the CNG sector, according to the official as per Clause 6.3(b), we will have the right to sell RLNG to our consumers on a market-based price, which is relatively less, and the gas would be available 7 days a week.
The official said that the masses are being denied the use of clean fuel (RLNG) knowing the fact that for the last 6 months lead content has increased in the atmosphere as the vehicles use petrol and diesel as fuel since CNG sector is non-operational in Punjab for over 6 months.
The government has also decided to use the existing FRSU (floating re-gasification and storage unit) of EETPL as LNG carrier for importing LNG for two more times till June 11, 2015 indicating no progress in LNG import deal with Qatargas Company under government-to-government deal. Qatargas Company has linked the LNG deal with sustainable payment mechanism and dredging of channel up to 14 meters.