PDL Ordinance challenged in SC

[LahoreEstate]

Saturday, July 11, 2009
Separate petition filed against July 9 Ogra notification on petroleum development levy

By Sohail Khan

ISLAMABAD: A constitutional petition, challenging the Petroleum Development Levy Ordinance, 2009, promulgated by President Asif Ali Zardari the other day, was filed in the Supreme Court on Friday.

Muhammad Ikram Chaudhry, senior lawyer of the Supreme Court, filed the petition under the Article 184(3) of the Constitution, making the Federation of Pakistan through the secretary of Law and Justice, the secretary of the Ministry of Petroleum, and the Oil and Gas Regulatory Authority (Ogra) through its chairman, as respondents.

It prayed to the court to declare that the impugned Ordinance XV of 2009 and the notification issued by Ogra on July 9, 2009, were without lawful authority and ultra vires of the Constitution and law.

It was contended that the ordinance itself was a mockery of the promises made by the present regime and the respondents, who not only claimed to make life easier for the people, but also assured them many times of making such policies and bringing such changes in the working mechanism of the Constitution, which would help and make their lives better and secure, but these remained of no consequence.

The petitioner stated that the Petroleum Products Development Levy Ordinance XV of 2009, amending the 1961 ordinance by replacing carbon tax with development levy on petroleum products, was an effort by the respondents to violate the Articles 2-A, 4, 5 8, 9, 25, 37, 38, 77 and 89 of the Constitution and to negate the fundamental rights duly recognised and guaranteed by the Constitution.

It was also contended that the imposition of the development levy was mala fide, oppressive and excessive and the public at large was being made victim of multiple taxation against the law.

In a separate petition filed in the apex court, Muhammad Ikram Chaudhry prayed to the court to suspend the notification issued by the Oil and Gas Regulatory Authority (Ogra) on July 9, 2009, to the extent of imposition of the PDL till the final disposal of the case, which would be in accordance with the norms of law and justice.

It was contended in the petition that the public at large would suffer an irreparable loss if Ogra’s July 9 notification was not suspended, as already billions of rupees had been illegally extracted by the respondents, but no relief was provided despite making promises and commitments.

The petitioner also contended that the decision of Ogra and government/respondents, in fact, spoke for the illegal and unconstitutional tactics being opted for extracting from the public at large their legal income by heavily taxing them in the form of unreasonably huge increase in the petroleum prices and to make life miserable and difficult for them.

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