ECC okays release of Rs9bn for OMCs over price differential claims

ISLAMABAD: Federal Minister for Finance & Revenue Senator Muhammad Aurangzeb chaired a meeting of the Economic Coordination Committee (ECC) of the Cabinet at the Finance Division on Thursday.

The meeting was attended by Minister for Industries & Production Rana Tanveer Hussain, Minister for Petroleum Musadik Masood Malik, Minister for Power Sardar Awais Ahmad Khan Leghari, Minister of State for Finance & Revenue Ali Pervez Malik, federal secretaries and other senior officials of relevant ministries.

The Cabinet Committee approved Technical Supplementary Grants (TSGs) to various ministries/divisions. It allowed Rs126.848 million to the Cabinet Division for clearing the outstanding customs duties/taxes. It also allowed Rs29 million to the President Secretariat to meet the expenditures under “Employee Related Expenses”. Rs5,400 million was approved for the Ministry of National Health Services, Regulations & Coordination in favour of Federal Directorate of Immunization. The Ministry of Kashmir Affairs & Gilgit-Baltistan was allowed Rs4.92 billion on account of salary & allowances, family assistance packages and social initiatives in education and health sectors in Gilgit-Baltistan. The Ministry of National Food Security & Research was allowed Technical Supplementary Grant of Rs6,596 million for payment of pending liabilities to PASSCO.

The Cabinet Committee also approved Rs370 million to the Ministry of Housing and Works for the pending liabilities. It also approved payment of Rs332 million to the Ministry of Economic Affairs for developing Somali National Identification System by Nadra. The Finance Division was approved a sum of Rs14,250 million as rupee cover to facilitate the successful implementation of Women Inclusive Finance Project. Rs96.9 million was approved for the Finance Division for the implementation of Audit Management Information System. Also, Rs5 billion was approved for the Defence Division as seed money for Green Tourism Pakistan Project. The Defence Division was also allowed Rs23.945 billion against pay shortfalls for current fiscal year.

Rs10 billion was allowed as technical supplementary grant to the Ministry of Interior for the clearing of pending liabilities of ration for Headquarters Frontier Corps and Headquarters Gilgit-Baltistan Scouts. Similarly, Rs0.6 billion was approved for the Ministry of Interior for raising of three additional corps headquarters. A technical supplementary grant of Rs5.986 million was approved for the Ministry of Interior to meet additional fund requirements, Rs9.576 million for National Academy for Prison Administration, Rs87 million in respect of Headquarters Frontier Corps KP, Rs4,637 million for Civil Armed Forces to meet the operational requirement and pending liabilities of ration. The Cabinet Committee also approved Rs168.834 billion to the Economic Affairs Division on account of revised budget estimates for FY2023-24.

Furthermore, the proposal of the Ministry of Federal Education & Professional Training to exempt HEC from Relending Policy of Foreign Loans/Credits to autonomous bodies was approved. The ECC also approved a proposal of Petroleum Division for release of Rs9 billion for clearing the outstanding claims of OMCs including PSO on account of price differential claims.

The proposal of Ministry of Industries & Production for the export of 0.15 million MT of surplus sugar was approved by ECC with the condition that in the event of a rise in retail price of sugar, the permission to export would be revoked. It was also directed that it may be ensured that export proceeds be utilized by the mills for clearing the overdue payments to farmers.

The cabinet committee also approved the summary of Power Division for the repayment of Rs82 billion finance facility extended to PHL by OGDCL. It was decided that OGDCL would also clear its liabilities towards GoP from the funds received through this arrangement.