ECC approves oil pipeline project

ISLAMABAD: Economic Coordination Committee (ECC) met here on Tuesday with Prime Minister Shahid Khaqan Abbasi in the chair approved the 427 kilometer

Machike-Taru Jabba Oil Pipeline project that would transport dual oil products including diesel and petrol to the up country (from Sheikhupura to Peshawar).

The project will be completed not in dollar terms but in Pakistan rupee with no escalation cost.

Inter-state gas system will implement the project on BOOT (build, own operate and transfer) basis in local currency with no escalation. However, after 15 years, the pipeline will be the asset of Pakistan government. Not a single penny will be spent on the project by the government of Pakistan, a senior official told The News.

The ECC also approved the transportation tariff however the Oil and Gas Regulatory Authority (Ogra) would ratify it after due process.

This strategic and vital oil pipeline would transport the dual oil products including High Speed Diesel and Motor Spirit from Machike in Punjab to Taru Jabba in Khyber Pakhtunkhwa.