SC takes notice of non-utilisation of funds for welfare schemes

The Sindh High Court (SHC) division bench headed by Justice Mohammad Karim Khan Agha on Monday took notice of non-utilisation of funds provided by petroleum and exploration companies for social welfare schemes.

More than Rs3, 216.150 million of funds provided for social welfare schemes in 21 districts of the province had not been utilised yet, Chief Secretary Mumtaz Ali Shah told the SHC. Hearing of a petition with regard to the lack of provision of welfare funds to the people of oil and gas exploration areas, the court took serious exception over non-utilisation of funds.

The court also inquired from Shah that why further proceedings for violating court orders should not be taken against him? The chief secretary tendered an apology and assured that funds would be utilised as per the directives of the Supreme Court. The court also directed the auditor general of the province to audit the funds and submit the report.

The court was earlier informed that the ministry of petroleum had provided $16.3 million for the social welfare fund, $17.9 million for the production bonus and $1.8 million for marine research from the exploration and production companies under their contracts since 2013.

Shah submitted that 58 per cent of the funds had been utilised out of total funds received by the districts. He said 2,101 villages, falling within 5 kilometer radius of 87 gas and oil fields in the province, were without gas facilities while only 82 villages were being provided gas facilities out of 2,184 villages in the 21 districts of the province.

He added that out of Rs478.883 million funds provided for marine research and coastal development fees Rs323.807 million was not spent whereas only 3 schemes had been executed so far.