ISLAMABAD: The Ministry of Finance has formed a committee to settle gas circular debt that has plagued the gas sector for years.
According to the notification, the finance minister formed the committee that will convene under Ashfaq Tola. The committee would undertake a detailed mapping of the gas sector’s circular debt stock as of June 30, 2022.
Other members of committee include Secretary/Additional Secretary (Petroleum Division), Secretary/Additional Secretary (Power Division), Additional Secretary CF Finance Division, Commissioner SECP Abdul Rehman Warriach, Chief Financial Officers of Pakistan Development Fund (PDF), Oil & Gas Development Limited (OGDCL), Government Holding Pvt. Limited (GHPL), Pakistan State Oil (PSO), Pakistan Petroleum Limited (PPL), Sui Northern Gas Pipeline Limited (SNGPL), Sui Southern Gas Company Limited (SSGCL) and Central Power Purchase Authority (CPPA-G).
According to TORs, the body is directed to work out a circular debt settlement plan through “cash/non-cash releases/disbursements.”
The ministry has given the committee a 10-day period to submit a report with its recommendations, which should be suggested after identifying legal and procedural requirements to implement the circular debt settlement plan.