Federal Minister for Energy Omar Ayub Khan chaired a session with a delegation of Oil Tankers Contractors Association and Provincial & Government's departments/agencies to resolve the issues of Oil Tanker Association at Ministry of Energy-Petroleum Division today. The meeting was attended by Chairman FBR, Chairmen of Provincial Revenue Authorities, MD PSO and representatives of OGRA.
Delegation presented issues/demands in front of concerned departments which were taken up and mediated by Honorable Federal Minister for Energy Omar Ayub Khan one-by-one for their expedite resolution.
After extensive deliberations, OTCA called off their announced strike and both parties reached the conclusions as follow:
1. Joint Team of OTCA and FBR will meet on Monday, 20th July, 2020 to sort out the issue of increase in the Income-Tax. Procedural matters will be resolved as soon as possible and legislative requirement will be finalized for submission to Advisor on Finance and respective parliamentary forum.
2. Sindh Revenue Board will convene a meeting with other Provincial Revenue Authorities at 9:30am on Monday, 20th July, 2020 to resolve the input adjustment against Services Sales Tax. Meeting of OTCA team will also be held with SRB at 12pm to take a final decision in the matter. All other provincial revenue authorities (KP, Balochistan and Punjab) agreed in principle to the proposal of OTCA.
3. OTCA team will also meet Member (Gas) and Member (Finance) of OGRA on Monday 20th July, 2020 to resolve and finalize the issue of freight revision.
4. OGRA may also consider the deadline for compliant tank lorries extension upto the time when multi-product movement commences through White Oil Pipeline. Primary movement may not be allowed after the operationalization of WOP however, after the operationalization of WOP, secondary movement will continue for 1.5 year /18 months for up-gradation of secondary vehicles.
5. Two studies will be conducted in 2 week time by Petroleum Institute of Pakistan (PIP) in consultation with OCAC and OTCA/OGRA for determining the following:
a. Number of compliant vehicles required for transportation throughout the country after operationalization of WOP in normal times and in case of any emergent shutdown of WOP
b. Phenomena of dumping of petroleum products due to commercial loading and usage of vehicles on self-collection basis
6. PSO will maintain single queue for transport vehicles as per the decision of the Sindh High Court.
7. OGRA will issue necessary instructions to all oil marketing companies for providing facilities of clean drinking water, filtration units, mosque, rest rooms, coolers, washrooms, etc at oil depots
8. It was clarified that there is no plan for deregulation of freight pool under consideration by the Petroleum Division at the moment.
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