CCOE Set to Approve Extension in Deadline for Refineries’ Projects
Staff Report
Cabinet Committee on Energy (CCoE) is scheduled to meet on Thursday to consider the extension in the deadline for signing implementation agreements with refineries to start upgradation projects.
The Prime Minister will chair a meeting of CCOE.
The committee will take up three agenda items. They included the Circular Debt Report for February 2024, Meeting on Illegal Spectrum of Goods and Services: Incentive Mechanism for Recovery of Electricity Arrears above 02 (two) years and from Theft of Electricity from Private Consumers and Pakistan Oil Refining Policy for Upgradation of Existing/Brownfield Refineries-Extension of Deadline for Signing of Upgrade Agreement.
The petroleum division has submitted a summary of the extension in the deadline to sign the implementation agreement for approval of the Cabinet Committee on Energy (CCOE).
The deadline was set for April 22, 2024, for signing plant upgrade agreements with the Oil and Gas Regulatory Authority (Ogra).
But it expired as the two refineries were not ready to sign agreements.
There are three refineries including Attock Refinery Limited (ARL), National Refinery Limited (NRL) and Pakistan Refinery Limited (PRL) that were ready to sign agreements.
However two other refineries – Pak Arab Refinery (Parco) and Cnergyico PK – required some more time to sign agreements.Pakistani Refineries Set for Euro-V Compliance and Capacity Boost
According to sources, the board of directors of Parco was not ready to sign the agreement as they were not willing to start work on upgradation plants.
ARL, NRL, and PRL had formulated a plan to invest amounting to $3 billion in upgrading their plants.
The total investment in upgrade plants has been estimated at $6 billion.
