PAC seeks reply on Rs122b loss over delay in LNG import

Summons Petroleum Division officials to come with full readiness

ISLAMABAD:

The Public Accounts Committee (PAC) of parliament has summoned the Petroleum Division officials over the alleged loss of Rs122 billion suffered by the country in two years (2019 and 2020) due to the delay in import of liquefied natural gas (LNG).

The PAC met under the chairmanship of its Chairman Rana Tanveer Hussain on Thursday and reviewed issues related to the Petroleum Division.

The committee expressed displeasure over the letter written by Energy Minister Omar Ayub to National Assembly Speaker Asad Qaiser regarding PAC, and hinted at summoning him.

Sources said that the minister had requested the speaker to instruct PAC to concentrate on audit paras instead of media reports regarding the Rs122 billion loss.

Chairman Hussain said, “The Ministry of Energy has a problem with PAC as the minister says just consider the audit paras. [With this act,] he is weakening the committee and parliament. The letter had his signatures.”

Hussain said, “If something is going wrong, we have to take notice of it, we have to ask questions, we have to conduct accountability. We don't like it that the issue of Rs122 billion has come up in the media.”

Committee member Raja Riaz said that the energy minister has advisers and all the powers. “In fact, he himself never came to parliament.”

Hussain said, “We can call the minister to the committee meeting.”

The Petroleum Division secretary replied, "Parliament can ask us questions at any time."

Over media reports doing the round that the country suffered an alleged loss of Rs40 billion in the last three months of 2020, the petroleum Division officials informed the committee that Rs35.5 billion worth of LNG was purchased in October, November and December. “The reports that the country suffered a loss of Rs40 billion are incorrect.”

Riaz said, “At what rate was LNG bought for Rs35.5 billion? Why wasn’t it bought at the earlier rate?”

Committee member Munaza Hassan said, “All aspects of the audit are related to policy issues.”

Committee member Sardar Ayaz Sadiq said that former prime minister Shahid Khaqan Abbasi had bought gas, for which the National Accountability Bureau (NAB) caught him. What no … will they catch him for not taking gas?”

The Petroleum Division secretary said, “Our contracts are with Qatar Gas.”

Senator Mushahid Hussain Syed inquired whether the delay in decisions was due to NAB.

“Is it due to their fear that you are unable to make any decision … everyone is afraid that NAB will catch them.”

The committee chairman asked whether there was any fear in taking decisions that the decision was not being taken. “Take the matter to the Cabinet and the ECC,” he said.

Riaz said suggested issuing summons to those policymakers whose wrong decisions hurt the country.

Another committee member, Noor Alam Khan, asked, “Is there no option other than Qatar.

“Is there any country other than Qatar from which we can buy cheap LNG?”

The Petroleum Division officials replied that they have contract with Qatar till 2026.

Committee member Malik Amir Dogar sought details of the agreement with Qatar.