The ministry of petroleum and natural resources has finalised its 28-page draft to give a legal cover to new amendments. The draft of the Gas Utility Companies Act of 2010 has been sent to major industrial groups to seek their feedback within 30 days.
Under the amendments, gas courts will be set up at district level. Section 24 of the draft says, “The government shall by a notification in the official gazette establish as many gas utility courts in a district as it considers necessary to exercise jurisdiction under this Act and appoint a judge for each of such courts from amongst the district and sessions judges and the additional district and sessions judges in that district after consultation with the chief justice of the high court of that province.” Officials confirmed that for the first time, legal framework is being prepared for the smooth functioning of gas supply, recovery and development matters.
Under the new law, gas thieves will have to undergo three years’ imprisonment or pay Rs5 million fine, or both if found guilty. Gas companies will be empowered to suspend gas to any consumer or sector at any time for any period in the name of operational reasons. Section 20 has been introduced in the draft with name and style of ‘Power to Reduce Supply’ pressure which says “a gas utility company may, for operational reasons without incurring any liability for doing so, reduce supply if it thinks fit.
After the approval of this act from the assembly, gas companies will be exempted from audit by the Auditor-General of Pakistan and they will proceed through Companies Ordinance 1984.
Published in The Express Tribune, June 28th, 2010.
COMMENTS
Comments are moderated and generally will be posted if they are on-topic and not abusive.
For more information, please see our Comments FAQ