The association further said that it will go to the Supreme Court in this regard, while at the same time, the court has summoned representatives of CNG stations for tomorrow’s hearing.
The Ministry of Petroleum receives Rs80.012 billion in general sales tax (GST), gas infrastructure development subsidy and gas development subsidy.
The Petroleum Ministry has imposed 25% GST on the CNG sector, while the Federal Board of Revenue (FBR) had fixed it at 16%.
Other than that, the ministry has also applied gas development subsidy and gas infrastructure development surcharge on the 3.5 million consumers using CNG-fitted cars.
The GST collected by the government amounts to 26.6046 billion, the gas infrastructure development subsidy amounts to Rs24.604 billion and gas development subsidy amounts to Rs28.787 billion.
Shortly after Supreme Court's verdict, the Oil and Gas Regulation Authority (Ogra) had issued a notification reducing CNG prices by over a whopping Rs30 – a 33% slash.
According to the notification issued by Ogra, CNG will be sold in Region 1 (Potohar, Khyber-Pakhtunkhwa, and Balochistan) at Rs61.64 per kg (a Rs30.90 price reduction), while the price of CNG for Region 2 (Sindh, Punjab,and its areas excluding Potohar) would be Rs54.16 per kg (a Rs30.38 price reduction).
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