ISLAMABAD: The Executive Committee (EC) of the Special Investment Facilitation Council (SIFC) has issued directives to the Petroleum Division to expedite the ongoing bidding processes and policy adjustments. Key timelines have been established to ensure streamlined operations and strategic advancements.
Bidding Timelines and Marketing Initiatives
The Petroleum Division has been tasked with finalizing the ongoing bidding process by January 10, 2025. Advertisements for onshore and offshore bidding are to be released by January 15, 2025, and January 30, 2025, respectively. These efforts will be supported by robust marketing strategies, including roadshows.
Simultaneously, the division is expected to accelerate evaluations and implement recommended adjustments to the offshore fiscal policy with inputs from international consultants, Wood Mac. Progress reports are to be shared fortnightly with SIFC, starting January 15, 2025.
Legal and Operational Resolutions
Addressing unresolved cases involving the Sui Southern Gas Company (SSGC), the EC has directed the Auditor General of Pakistan (AGP) and the Law Division to resolve legal issues through a working group. The deadline for these resolutions is set for January 15, 2025.
For the liquid and LPG terminal at Port Qasim, the EC underscored the importance of uninterrupted operations. Open bidding will proceed under the Port Qasim Authority (PQA), with risk assessments and mitigation strategies to ensure smooth transitions and prevent disruptions in the supply chain. Negotiations between PQA and EVTL on amendments to the Implementation Agreement (IA) will commence on December 30, 2024, with re-negotiations to be completed by January 31, 2025.
LNG Management and Policy Adjustments
The Petroleum Division reported potential surpluses of LNG cargoes due to reduced demand from captive plants and K-Electric by the end of 2025. To address this, the division will recalibrate imports and explore selling surplus re-gasified LNG (RLNG) to third parties or new customers. Additionally, strategies to address 2.8 million pending RLNG connection requests must be finalized by January 15, 2025.
Gas Usage in Industrial Sectors
For industries using gas for off-grid captive power and on-grid operations, the Petroleum Division is to collaborate with stakeholders to finalize a mutually agreeable solution by January 15, 2025.
The EC emphasized that any delays or inefficiencies in these processes could lead to adverse national-level impacts, including supply chain disruptions and price volatility. The Petroleum Division’s adherence to these deadlines is seen as crucial for ensuring stability and progress in the energy sector.
Story by Mushtaq Ghumman
