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Textile mill owners demand RLNG bills at $6.5/MMBTU only

Fulfilling its election promise, the Pakistan government had agreed with textile industry to reduce gas prices for the export sector to $6.5 per MMBTU from almost previous $16 per MMBTU. Though the Economic Coordination Council (ECC) had approved the new tariff only with effect from Sept 27 but no subsequent notification was issued by the finance ministry in this regard.

While implementing the ECC decision, the gas used for captive energy was excluded from subsidised rates and the textile industries were issued bills as per the previous gas tariff for rest of their consumption. The textile mill owners were however assured that extra amount paid by them would be reimbursed once the government would pay the subsidy.

However, the textile industry declared its reservations on bills delivered and demanded that the government must instruct SNGPL to receive payment of the RLNG bills for October at $ 6.5/MMBTU and the balance may be deferred and refund obtained directly from the Ministry of Finance.

 

 
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