ECC Announces an Incentive Package for National Electric Vehicle Policy
The Economic Coordination Committee (ECC) of the cabinet has formed an inter-ministerial committee to firm up proposals in a month’s time on an incentive package for National Electric Vehicle policy (EVP).
Adviser to the Prime Minister on Finance and Revenue Dr. Abdul Hafeez Shaikh chaired the meeting of the ECC of the cabinet where the decision was taken.
The committee will comprise Minister Planning & Development, Minister Science and technology, SAPM on Austerity and Institutional Reforms, Deputy Chairman Planning Commission, SAPM on Commerce (Chairman), SAPM on Petroleum, Secretaries Industry and Climate Change.
ECC acknowledged the role and efforts made by the Ministry of Climate Change on preparing incentive proposals for National Electric Vehicle Policy.
Four technical supplementary grants:
- Rs. 275 million in favor of the Ministry of Housing and works for capital outlay on civil works,
- Rs. 84,352,265 equivalent to $ 532,152 to be provided to NADRA for FATA TDP Emergency Recovery Project,
- Rs. 5500 million for Sustainable Development Goals Achievement Program,
- Rs. 5 billion to NDMA for fighting the spread of Coronavirus on an emergency basis were approved by ECC.
The technical supplementary grant approved for NDMA shall be utilized to gain logistic support and the provision of different types of personal protective equipment against the virus including respirators/face masks etc.
ECC also approved quarterly adjustments of the tariff of K-Electric limited for the period from July 2016 to March 2019. As a relief measure for the people of Karachi amidst Coronavirus outbreak and in Ramzan, ECC directed to notify the tariff after 3 months and directed Finance and Power Division to facilitate K- electric by the advance provision of a subsidy of Rs. 26 billion.
The ECC was briefed that the revision of tariff would have an impact of Rs. 1.09 to Rs. 2.89/Kwh for various categories of consumers.
On the summary moved by the Ministry of Energy on the execution of LPG Air Mix supply projects by Sui Companies, ECC decided to continue the operation of two plants at Awaran and Bella and approved the installation of another four plants at Gilgit, Drosh, Ayun, and Chitral town where the equipment has already been procured for plant installation.
The work on other projects of the same nature was stalled as it required a huge amount of subsidy to both SSGPL and SNGPL. It was briefed to the ECC that SNGPL requires Rs. 19.851 billion per annum for the operation of 16 projects and SSGCL will require Rs. 14.474 billion to operate 32 approved projects.
ECC decided that the Ministry of Energy should engage the Government of Balochistan and decide on more efficient projects which would give the maximum benefit to the population of Balochistan within the same amount of allocation/subsidy.
The decision was taken in the context that the existing revenue shortfall of SNGPL was Rs. 143 billion and Rs. 72 billion for SSGCL as of the end of 2018-2019.
ECC also decided to allocate 5.0 MMCFD gas from Saand#1 to M/S SSGCL. The price of gas shall be according to the petroleum policy.
Source: Pro Pakistani