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ISLAMABAD: The Economic Coordination Committee (ECC) of the federal cabinet on Tuesday approved the Ramzan Relief Package 2022 involving subsidies of Rs. 8.2 billion.
The relief package has been approved for the whole population rather than only 20 million households registered with Ehsaas Rashan Riyat Programme with directions to frame procedural mechanism for limiting the interventions by each family.
The ECC meeting was presided over by Federal Minister for Finance and Revenue Shaukat Tarin. The proposal was presented by Ministry of National Food Security & Research (MNFS&R).
The MNFS&R submitted another summary regarding intervention price for cotton crop (2022-23). In order to revive cotton production, bring stability in domestic market and assure fair return to the farmers, the ECC allowed Rs. 5,700 per 40kg threshold intervention price of seed cotton. The committee further allowed to initially procuring two million bales of cotton at intervention price and decided that the quantity would be reviewed on monthly basis.
The ECC allowed Ministry of Economic Affairs to sign 15 debt rescheduling agreements with various credit countries finalised under Debt Service Suspension Initiative (DSSI).
On a proposal of Petroleum Division, the ECC allowed reallocation of 15 MMCFD gas from Jhal Magsi to Sui Southern Gas Company (SSGCL). The company would carry out the project of gasification of Jhal Magsi town and would embark the required gas out of the proposed allocation. The injection of this gas will help mitigate SSGC’s gas demand-supply deficit.
On a proposal of Petroleum Division for allocation of gas from Mari deep gas reservoir to SNGPL, the ECC approved up to 110 MMCFD gas from Mari deep (Goru-B) gas reservoir allocation to SNGPL till 30-06-2024 on firm basis with direction for the determination of price mechanism of gas.
With regard to addressing PSO and other Oil Marketing Companies (OMCs) concerns over mechanism of payment of Price Differential Claims (PDC), the Petroleum Division submitted a summary on revised mechanism that PDC will be applicable on sale of petroleum products rather than on procurement of products. The ECC approved the proposal with allocation of additional Rs11.73 billion as supplementary grant to meet the expenditure on payment up to March 31.
ECC also approved Technical Supplementary Grant amounting to Rs. 200 million to Pakistan Military Accounts Department (PMAD) for conversion of Pensioners to Direct Credit System.
The committee also approved Technical Supplementary Grant of Rs. 3,500 million in favour of Higher Education Commission to set up the Pak University of Engineering and Emerging Technologies (PUEET).
