Rabbani wants new oil, gas contracts under constitutional cover

ISLAMABAD: Former Chairman of the Senate and senior leader of the Pakistan People’s Party, Mian Raza Rabbani, said that the federal government claims a $5 billion investment in the oil and gas sector by Exploration and Production (E&P) companies, but any new contracts for the exploration of oil and gas must adhere to Article 172(3) of the Constitution of 1973.

“The government needs to put into place an effective mechanism for the implementation of Article 172(3), Constitution, 1973 and anything short of the Constitution, 1973, will not be acceptable to the provinces.,” he said in a statement on Monday.

Raza Rabbani said Article 172(3), Constitution, 1973, was inserted by the 18th Amendment, whereby, for oil and gas found within the territory of a Province, 50% ownership is of the Province and 50% of the Federal Government. He pointed out that since 2010 no real mechanism has been in place for its implementation, i.e. Article 172(3), Constitution, 1973.