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Public Accounts Committee Orders Govt to Stop Covering Court Expenses With Gas Development Cess

5 min read
Legal Expert
Public Accounts Committee Orders Govt to Stop Covering Court Expenses With Gas Development Cess
The Public Accounts Committee (PAC) on Tuesday ordered the federal government to stop using Gas Infrastructure Development Cess (GIDC) funds for legal and other court-related expenses. PAC members voiced concern over Rs. 350 billion in unutilized GIDC funds and questioned why key infrastructure projects were being stalled. The Auditor General’s office reported that only Rs. 3.7 billion had been used for Inter State Gas System (ISGS) operational expenses and loan repayments to Government Holdings Private Limited (GHPL). MNA Hina Rabbani Khar suggested redirecting the funds to green energy or projects aligned with their original purpose. PAC Chairman Junaid Akbar Khan instructed Petroleum Division Secretary Momin Agha to present alternative plans for the IP and TAPI projects within a month. The committee also summoned Chairman National Accountability Bureau (NAB) and Director General Federal Investigation Bureau (FIA) for a briefing on Cnergyico PK Limited which has defaulted on Rs. 70 billion in government payments. The committee further expressed its annoyance over the non-recovery of Rs. 33.9 billion in Gas Development Surcharge (GDS) from fertilizer and power companies that failed to pay their outstanding fees.
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Written by the expert legal team at Javid Law Associates. Our team specializes in corporate law, tax compliance, and business registration services across Pakistan.

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