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Ogra set to become dysfunctional from July 17

By Khalid Mustafa
July 07, 2020

ISLAMABAD: The Oil and Gas Regulatory Authority (Ogra) is going to be dysfunctional from July 17, 2020 as tenure of its chairperson Uzma Adil is to culminate on the same date.

She has been chairperson of the regulatory body for four years. Uzma, who is Charted Accountant by profession, joined the regulator as first ever lady chairperson in 2016 and took very bold steps in regulating the oil and gas sectors. Prior to joining Ogra, she was CFO (Chief Financial Officer) in Sui Northern.

Member Oil Dr Abdullah Malik already completed his tenure on May 17, 2020 and Uzma Adil will be leaving Ogra on July 17. This will keep the quorum of the Authority incomplete, therefore, it would dispense the day-to-day affairs only, but will not be able to do regulatory duties such as issuance of licences and taking decisions pertaining to tariff.

However, Uzma Adil is known for her bold steps as when she joined the regulator as chairperson on July 18, 2016, the mighty oil marketing companies (OMCs) were not inclined to implement oil rules 2016 and it was an uphill task to get them implemented, but she tactfully succeeded in implementing the said rules. Uzma Adil also played a key role in increasing the storage capacity of petrol by up to 30 days and for diesel by up to 50-70 days.

During her four-year tenure, she refused to issue the oil marketing licences to OMCs directly rather she forced the applicants seeking marketing licences to first acquire construction licence to build the fuel storages and then get it examined by third party if the storages are found up to the mark and then Ogra under her leadership issued the marketing licence to OMCs.

Uzma Adil is also facing NAB investigation on her appointment as Ogra chairperson and on approval of LNG contract. She said in her statement submitted with NAB that she got selected through a transparent manner in a competitive environment. “However, those appointed her should be asked to this effect but she is facing the music for doing nothing in this regard,” says her statement deposited to NAB. As far as LNG contract is concerned, Ms Adil pleaded in her statement to the NAB that she had no role in it as when she joined as Ogra chairperson, the LNG contract was already awarded.

Outgoing Ogra Chairperson Uzma Adil confirmed to The News saying, “Yes, I am going to leave Ogra after 10 days upon completion of my 4-year tenure on July 17, 2020.”

However, the government has notified a five-member committee for the selection of new chairman and Member Oil of Ogra. According to the copy of the notification available with The News, the committee is to be headed by Mirza Shahzad Akbar, Special Assistant to the Prime Minister on Accountability and Interior as Chairman. The committee also comprises cabinet secretary, Chairman of PSO board of directors Zafar I Usman, Director of the Board of Directors of PARCO (Pak-Arab Refinery Company) Aftab Hussain as members. Najamul Kamal Hyder who remained as OGDCL MD till 2005 is also a member of the selection committee.

However, some officials raised the questions saying that members representing refinery and state owned oil marketing company have conflict of interests as to how they can be part of the committee that is to select the new Ogra chairman and Member Oil who will regulate refineries and OMCs.