RECORDER REPORT

PESHAWAR: Khyber Pakhtunkhwa Board of Investment and Trade vice chairman, and leading industrialist, Senator Mohsin Aziz welcomed the Senate Anomaly Committee on Gas Infrastructure Development Cess decision to not retrospectively charge of GIDC from industries and captive power units.

He said the decision was taken in meeting of the committee, chaired by PML-N Senator Iqbal Zafar Jhagra in Islamabad. Besides, Minister for Petroleum and National Resources, Shahid Khaqan Abbasi, and high officials of Federal Ministry of Petroleum, and Finance, the Senators from smaller provinces, include Senator Mohsin Aziz, Senator Ilyas Ahmad Bilour, Saleem Mandwiwala also attended the meeting.

In the meeting, Senator Mohsin Aziz informed it was vehemently discussed the retrospective impacts on industries and captive power units, by imposition of Gas Infrastructure Development Cess, besides rights of smaller provinces, and different judgments, taken by Peshawar High Court, Islamabad High Court and Supreme Court, regarding the levy of GIDC and others.

The meeting, Aziz said was also proposed to bring down GIDC at an optimal level. He said the committee was strongly opposed the levy of GIDC, which is against the interest of the business community. He said the move would put negative impact on the country’s economy. Also to reduction of rates of GIDC for industries/captive power units, was discussed as it cannot bear huge cost keeping in view the reciprocal competently, the meeting said.

The committee also expressed concern over imposition of levy through a promulgation of presidential ordinance. The meeting also asked it should be determined that where the accumulative money of levy would have spent, before its formal imposition.

It was discussed the verdicts of Peshawar and Sindh High Courts along with apex court against the imposition of GIDC. It was also raised the question that how much rate of GIDC will increase in future, which is currently rate of GIDC on Industrial sector Rs.100 per Million British thermal Unit (MMBTU) and on Captive Power Plants to Rs.200 per MMBTU.

The business community hailed the decision for not charging past retrospective Gas Development Infrastructure Cess (GIDC) from Captive Power Plants, The rate of CNG and other retrospective of GIDC will be discussed in next meeting of the committee.