PPP demands judicial inquiry into LNG scam

• PPP senior leader Mian Raza Rabbani demands judicial inquiry into recent LNG scam.
• Says country moving towards gas crisis due to incompetence and non-transparent policies of government.
  
• Rejects recent hike in prices of petroleum, sugar and power tariff.

ISLAMABAD: PPP senior leader Mian Raza Rabbani Saturday has called for a judicial inquiry into the recent LNG scam, saying that Pakistan is moving towards a gas crisis due the government's incompetence and non-transparent policies.

“There will be shortages and increase in tariff in winter due to the new LNG bids ranging from $29.89 to $31.05 per MMBTU,” he said.

‘IMF has completely taken over Pakistan’

Rejecting the increase in the prices of petroleum, sugar and the power tariff, Rabbani said the IMF has completely taken over Pakistan. “Electricity rates increased by Rs.1.68 for domestic consumers and Rs1.39 for commercial and industrial consumers,” he said, adding that the government, in the darkness of Thursday night, increased the price of petrol by Rs8.03 per litre and the price of diesel by Rs8.14 per litre.

“Two weeks ago, the price of petrol was jacked up by Rs10.49 per litre,” he said.

The IMF liquidators are occupying decision-making positions and are pushing the country towards an economic collapse, he said. “This can have disastrous consequences for the federation,” he said, adding that the failure of the government to take action against the sugar mafia despite the commission report has resulted in sugar mills once again earning lofty profits by selling sugar at Rs140 per kg.

Pakistan receives new LNG bids at historic high rates

Two days earlier, the Pakistan LNG Limited (PLL) had received five bids with higher prices ranging from $29.8966 to $31.0566 per mmbtu from international LNG trading companies for two spot LNG cargoes to be delivered in the last 11 days of the current month. 

The country got the lowest bid for November 19-20 from Vitol Bahrain at $29.8966 per mmbtu and for November 26-27 from Qatar Petroleum Trading at $30.6500 per mmbtu.

The PLL board had held a meeting, which lasted for hours, to decide if it was to purchase the LNG cargoes at the lowest bids, which are factually at a higher trajectory in terms of prices. The PLL top management, under direction from the Petroleum Division, was tight-lipped and not ready to share the decision. 

However, industrial sources had said that PLL had decided to procure one LNG cargo from Qatar Petroleum Trading at $30.65 per mmbtu to be delivered on November 26-27 for some reasons that have not been shared. With the purchase of one LNG cargo, the basket sale price in the country would be at $15 per mmbtu.

The 100% state-owned company, PLL, issued an emergency tender on November 2, seeking bids for spot cargoes in the wake of a default by two LNG trading companies, ENI and GUNVOR, to provide two LNG term cargoes, which were due to be delivered on November 19-20 and November 26-27.