Islamabad, Feb 19: The Public Accounts Committee (PAC) has directed the federal government to cease using Gas Infrastructure Development Cess (GIDC) funds for legal and court-related expenses, raising concerns over the misallocation of resources meant for critical energy projects. During a meeting on Tuesday, PAC members expressed frustration over Rs. 350 billion in unutilized GIDC funds, questioning why key infrastructure initiatives remained stalled despite the availability of substantial financial reserves.
According to a report from the Auditor General’s office, only Rs. 3.7 billion had been utilized, primarily for operational expenses of Inter State Gas System (ISGS) and loan repayments to Government Holdings Private Limited (GHPL). Former foreign minister and MNA Hina Rabbani Khar proposed redirecting the funds towards green energy projects or initiatives aligned with their original purpose, ensuring effective utilization for national development.
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PAC Chairman Junaid Akbar Khan instructed Petroleum Division Secretary Momin Agha to present alternative plans for the Iran-Pakistan (IP) and Turkmenistan-Afghanistan-Pakistan-India (TAPI) gas pipeline projects within a month. These projects, crucial for Pakistan’s energy security, have faced repeated delays, with funding and geopolitical hurdles posing significant challenges.
In a separate directive, the committee summoned Chairman National Accountability Bureau (NAB) and Director General Federal Investigation Agency (FIA) for a briefing on Cnergyico PK Limited, which has defaulted on Rs. 70 billion in government payments.
The issue of non-recovery of dues was further highlighted as PAC members expressed their displeasure over Rs. 33.9 billion in unpaid Gas Development Surcharge (GDS) by fertilizer and power companies. The failure to recover these payments has placed additional strain on the country’s fiscal management, prompting calls for immediate corrective measures.
With mounting concerns over financial mismanagement in the energy sector, PAC’s directives signal a push for greater accountability and efficient allocation of resources. As the government navigates economic challenges, the proper utilization of GIDC funds remains a key priority to ensure progress in critical infrastructure projects.
