Petroleum Committee Delays Gas Bills, Reviews Training Fund Guidelines


Islamabad: The Standing Committee on the Petroleum Division, under the leadership of Syed Mustafa Mehmood, MNA, deferred the consideration of two significant government bills concerning the Natural Gas (Development Surcharge) and the Gas Infrastructure Development Cess (GIDC) during its recent meeting. The committee also focused on the implementation status of previous recommendations and addressed the concerns of stakeholders regarding the proposed amendments.



According to National Assembly of Pakistan, the Executive Director of the Fertilizer Manufacturers of Pakistan Advisory Council (FMPAC) presented his concerns about the GIDC (Amendment) Bill, 2026, highlighting the financial impact on fertilizer companies and the broader implications for farmers. He noted that fertilizer manufacturers, responsible for 44% of the GIDC while consuming 19% of national gas, have invested significantly in gas infrastructure. A member of the committee emphasized that the GIDC collections should benefit farmers and cautioned about potential future concerns from power companies.



The committee was informed by the Petroleum Division representative that the bill aimed to widen the tax net. The FMPAC representative suggested adjustments in the bill to acknowledge investments by fertilizer manufacturers. Additionally, the committee received a briefing on the Petroleum Training Fund and expressed concerns over its underutilization. They stressed the importance of need-based and transparent guidelines to ensure benefits reach deserving students and communities in petroleum-producing regions.



The committee directed the Petroleum Division and the Directorate General Petroleum Concessions (DGPC) to develop comprehensive guidelines for the Training Fund, emphasizing quality education and employable skills. The DGPC was instructed to consult provincial governments and stakeholders before finalizing these guidelines. The meeting saw participation from various committee members and senior officers from relevant government departments and provincial energy departments.

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