Petroleum Division still in eye of storm

ISLAMABAD: In a new development, the NAB has widened its investigations and is giving a tough time to top officials of Petroleum Division into the alleged $50 million mammoth damage to the national exchequer for not extending marginal price incentive enshrined in guidelines 2013 and for the hurdles in connecting the gas supply from Badin-IV South Gas Fields to the national transmission in time. The anti-graft body sent a set of 25 specific and precise questions to Director General Petroleum Concessions (DGPC), seeking explanations on the issue.

The NAB in its earlier letter written to Petroleum Division on January 16, 2020 asked for the provision of complete details of Badin IV South Gas Fields in Sindh from the date of award till to-date, but the anti-graft body was not satisfied with the replies and again sent a set of 25 new questions.

According to the latest official letter from NAB written on March 19, 2020 to DGPC whose copy is exclusively available with The News, the anti-graft body is inquiring into the allegation of causing damage to national exchequer, misuse of authority by public office holders, public functionaries of Ministry of Petroleum and Natural Resources and DGPC, OGDCL and issues related to production of gas and undue benefits to M/S EETPL, UFG issue and illegal appointments.

Questions have been asked about marginal or stranded gas fields, gas pricing criteria and guidelines 2013. It was asked to explain the basis of award of marginal concession to fields as per marginal policy, 2013.

The letter also asks who laid down the condition of Third Party Consultants for evaluation and demands provision of complete ToRs of DGPC. It also asked as to who appointed or selected the third party consultants like IPR and M/S AGR Traces International.

The NAB also sought answers about number of local consultants within the DGPC for evaluation of similar matters and asked for complete list of third party consultants from 2003 till date along with their TORs.

In another question, the NAB also asked for detailed recommendations of Hassan Mahmood, Gul Munir, Asif Hafeez and Kashif Qazi Saleem dated May 28, 2019 and Mian Asad Hayat Uddin dated May 30, 2019 for inclusion of the past cost in matter of PEL on Badin-IV South Fields.

The letter also questioned the subsequent approval of the secretary for inclusion of the past cost and who dissented from its execution and on what basis? The NAB also sought answers for the reasons for delay in gas production from discoveries in Badin-IV South Block while asking how many notices were issued to the said company for timely accomplishment and what measures were taken by DGPC till date? The letter also asked for answers on the reasons for installation of Amine Plant in Badin IV South Field.