LHC tells OGRA to explain granting LNG quotas to 2 companies by December 19

Petitioner argues that OGRA had given the companies quotas without inviting an open tender.

LAHORE: The Lahore High Court on Tuesday sought a reply from federal government and OGRA (Oil & Gas Regulatory Authority) regarding alleged irregularities by the authority in awarding LNG (liquefied natural gas) quotas.

Barrister Javed Iqbal Jafree had filed a petition alleging that the Ogra had awarded LNG quotas to two private companies without inviting an open tender, which is against the rules. He said government also leased out precious land to these two companies on throw away prices.

The petitioner further alleged that the government was busy in purchasing LNG from these companies on price much higher than market price. He said if this practices was not curbed, the government could cause losses worth Rs500 billion to the national exchequer during the next five years.

The petitioner prayed to the court to suspend LNG quotas awarded by OGRA to the respondent companies, since they were accorded illegally and without lawful authority.

Justice Muhammad Khalid Mehmood Khan directed the respondents to file their replies by December 19.