Islamabad : The 9th meeting of the Standing Committee on Petroleum Division of the National Assembly was held in the Parliament House, under the chairmanship of Syed Mustafa Mehmood, MNA. At the outset, the Committee confirmed the minutes of its previous meeting held on April 29, 2025, and extended a warm welcome to the Federal Minister for Petroleum Division, Members of the Committee, and officials from various Ministries, Divisions, and Departments for their presence. The Committee also offered Fatiha Khwani for the martyrs of the suicide attack in Khuzdar, Balochistan that occurred a day earlier.
The Chair congratulated the Members and attendees in light of recent national developments, especially acknowledging the commendable efforts of Pakistan’s Armed Forces in managing sensitive situations with India. He reiterated the Committee’s full support for the Armed Forces and expressed national pride in their professionalism and dedication to safeguarding the country’s interests.
The Federal Minister for Petroleum Division gave a detailed briefing on the “Off the Grid (Captive Power Plants) Levy Bill, 2025,” highlighting its significance as part of Pakistan’s commitments under the International Monetary Fund (IMF) Extended Fund Facility. He noted that while the phase-out of captive power generation had long been under consideration, its implementation had been delayed due to prolonged political and economic constraints. The Minister emphasized that transitioning industries from captive power systems to the national grid is intended to optimize surplus electricity generation, improve efficiency in the power sector, and relieve financial pressures on the economy. The Minister informed the Committee that a comprehensive consultation process had been completed in drafting the bill and acknowledged the instrumental role played by the Speaker of the National Assembly in facilitating this process. He assured the Committee that the bill is aimed at serving public interest without disrupting industrial operations and that protections for the industrial sector have been incorporated. He also highlighted high electricity prices as a major concern and underscored the need to fulfill public demand through grid supply. The Minister directed that the transition plan prepared by the Power Division be shared with the Committee.
Following detailed deliberations, the Committee recommended the Off the Grid (Captive Power Plants) Levy Bill, 2025 for passage in the National Assembly. However, it postponed further discussion on the Petroleum (Amendment) Bill, 2025 to allow more time for a comprehensive review and informed recommendations. The Committee also stressed that the ongoing consultation process must focus on quality and inclusivity.
The Committee was informed that both the Power Division and Petroleum Division are coordinating closely under the Prime Minister’s directions to ensure a smooth transition and to address the growing circular debt in the petroleum sector. A Circular Debt Management Unit has been established, and in-camera briefings will be held during the next meeting of the Committee to discuss sensitive aspects of the reform agenda.
Committee Members raised a range of important issues including the performance and reliability of K-Electric in Sindh, challenges being faced by small and medium enterprises (SMEs), the future of captive power generation facilities, and the procedures for converting gas meters used for industrial processing.
The meeting was attended by Members of the National Assembly including Sardar Ghulam Abbas, Mr. Anwar Ul Haq Chaudhary, Malik Saif Ul Malook Khokhar, Mr. Mian Khan Bugti, Haji Jamal Shah Kakar, Syed Naveed Qamar, Mr. Asad Alam Niazi, Mr. Muhammad Moin Aamer Pirzada, and Mr. Gul Asghar Khan. Also present were Mr. Momin Agha, Secretary, Petroleum Division; Mr. Masroor Khan, Chairman OGRA; Mr. Jam Muhammad Aslam, Additional Draftsman/Joint Secretary, Ministry of Law and Justice; along with other senior officials.
Sohail Majeed is a Special Correspondent at The Diplomatic Insight. He has twelve plus years of experience in journalism & reporting. He covers International Affairs, Diplomacy, UN, Sports, Climate Change, Economy, Technology, and Health.
