Post Reply 
 
Thread Rating:
  • 0 Vote(s) - 0 Average
  • 1
  • 2
  • 3
  • 4
  • 5
Gas from Iran at 80 percent crude value: ECC approval sought to sign GPSA
03-19-2009, 09:50 AM
Post: #1
Gas from Iran at 80 percent crude value: ECC approval sought to sign GPSA
ZAFAR BHUTTA & MUSHTAQ GHUMMAN
ISLAMABAD (March 19 2009): The Petroleum Ministry has pressed the Economic Co-ordination Committee (ECC) of the Cabinet to approve signing of Gas Sale and Purchase Agreement (GSPA) with Iran at 80 percent of crude after President Zardaris recent visit to Iran, a price that is 2 percent higher than what was last offered to Pakistan, sources said.

They said that Petroleum Ministry has moved a summary to ECC, which is scheduled to meet on Thursday, after Iran warned that it would be free to commit supplies reserved for Pakistan to its other buyers if no agreement was reached between the two countries during the current Iranian year ending on March 20, 2009.

Iran has also said that it might also raise the gas prices, further, by nearly 10 percent. The Petroleum Ministry has, therefore, recommended that Pakistan may enter into the GSPA with Iran at the price offered by Iran in the current scenario.

According to the summary moved to ECC, the Ministry has further recommended to purchase gas specifically for power generation that would be supplied to power generation units through the public sector gas utility companies under the administrative control of Petroleum Ministry. A separate tariff has been recommended for those industrial consumers who would use imported gas. Petroleum Ministry has been proposed to be the administrative ministry in this regard.

Petroleum Ministry had moved a summary to the Prime Minister stating above facts and urgency in the matter and Prime Minister has directed to place the matter before ECC. The project envisages import of one billion cubic feet daily (bcfd) of natural gas, which is nearly 25 percent of Pakistans current gas production.

The project will take at least 4 years to complete, and be able to generate 5,000 megawatts (mw) power. According to an analysis imported Iranian gas will result in annual saving of $1 billion over import of furnace oil, (at crude oil price of $50 per barrel).

Similarly, there will be an annual saving of $735 million if equivalent quantity of LNG is imported. The savings will increase in line with the hike in global crude oil price. The IPI Project shall have immense economic benefits for the people of Pakistan.

The most significant benefit to Pakistans economy will be to provide energy security through the guaranteed availability of clean fuel of high energy content, which is not only less expensive than alternative fuels, but is also environmentally friendly. In addition, it will generate employment and boost the economy.

http://www.brecorder.com/index.php?id=77...=&supDate=
Find all posts by this user
Quote this message in a reply
Post Reply 


Possibly Related Threads...
Thread: Author Replies: Views: Last Post
  Government Approval Granted for Leasing LDA Walk & Shop Arena to PCBDDA LRE-Azan 0 562 01-16-2024 02:23 PM
Last Post: LRE-Azan
  Rawalpindi Master Plan Advances: Approval Granted for Land Classification Map LRE-Azan 0 464 12-05-2023 07:03 PM
Last Post: LRE-Azan
  Approval Granted for Road Projects and Development Schemes in Multiple Punjab Distric LRE-Azan 0 547 11-30-2023 06:48 PM
Last Post: LRE-Azan
  Streamlined Building Plan Approval Process by Lahore Development Authority (LDA) LRE-Azan 0 658 10-04-2023 07:09 PM
Last Post: LRE-Azan
  Approval of 10 development projects Worth Around Rs. 87 billion (CDWP) LRE-Azan 0 990 02-07-2023 07:50 PM
Last Post: LRE-Azan
  Islamabad: Overseas Investment, Approval to Activate CDA Subsidiary LRE-Azan 0 1,406 12-02-2021 07:51 PM
Last Post: LRE-Azan
  Gwadar Updates Approval By Authorities LRE-Azan 0 1,320 11-18-2021 08:27 PM
Last Post: LRE-Azan
  Approval Given For Razing 12 Slums In The Capital Salman 0 4,589 03-21-2014 04:37 PM
Last Post: Salman
  CDA board defers approval of plots restoration policy Salman 0 4,889 02-13-2014 12:23 PM
Last Post: Salman
  PC-1 approval revives hopes for early start of uplift work Salman 0 4,726 02-11-2014 12:25 PM
Last Post: Salman
  CDA Gives Approval For Bus Service Project Salman 0 4,895 01-02-2014 01:24 PM
Last Post: Salman
  CDA, SUPARCO to sign MoU for satellite imaging of capital Salman 0 5,868 12-14-2013 06:19 PM
Last Post: Salman
  Approval Of Commercial Plans Conditioned With Solar Energy Systems Salman 0 6,305 12-03-2013 04:37 PM
Last Post: Salman
  Delay in approval of building plans by CDA irks investors Salman 0 7,574 11-29-2013 01:17 PM
Last Post: Salman
  RTMA to survey buildings constructed without approval Salman 0 6,763 11-25-2013 01:30 PM
Last Post: Salman
  CDA announces 50 percent rebate on property tax Salman 0 5,441 09-16-2013 04:40 PM
Last Post: Salman
  Walled City Of Lahore Authority Asks For The Approval Of Over Rs 2 Billion Projects Salman 0 15,329 07-01-2013 01:31 PM
Last Post: Salman
  TMA Rawal Town to computerise building plans approval Salman 0 6,809 06-19-2013 12:19 PM
Last Post: Salman
  Thousands Of Buildings Constructed Without Map Approval Salman 0 5,328 05-20-2013 12:26 PM
Last Post: Salman
  Approval For Property Survey In Punjab, 5 Marla Houses Exempt For Tax Salman 0 9,515 04-27-2013 01:51 PM
Last Post: Salman

Forum Jump:


User(s) browsing this thread: 1 Guest(s)