ISLAMABAD: The federal government’s ambitious plan to upgrade domestic refineries has hit a significant roadblock just days before the deadline for finalizing agreements. The issue arises from a sales tax exemption introduced in the 2024-25 national budget by the Federal Board of Revenue (FBR), causing uncertainty among investors.
With $6 billion in investment at stake, the Petroleum Division is considering requesting an extension from the Cabinet Committee on Energy (CCoE) to complete agreements with five local refineries. A crucial meeting between refinery representatives, petroleum and finance officials, and the FBR is scheduled for Tuesday (Oct 22) to resolve the impasse and keep the projects on track.
Story by Wasim Iqbal
