Summary:
- Ministry of Industries and Production proposes extension of subsidised gas supply to two SNGPL-based urea fertilizer plants, Fatima Fertilizer (Sheikhupura) and Agritech, until September 30, 2024
- Fertilizer Review Committee recommends extension and maximum gas supply to maintain production
- ECC decision from February 7, 2024, allows operations of two SNGPL-based plants till March 31, 2024, at a specific gas rate
- Ministry proposes extension for six months at OGRA notified price with differential treated as RLNG diversion to domestic sector
- Closure during Kharif 2024 would result in production loss of 445,000 tons, requiring import; maximum gas supply to FFBL would enhance domestic production by 165,000 tons
- Finance Division supports proposal, stating no subsidy involved; Petroleum Division mentions previous subsidy and future monthly subsidy with continued subsidised rate
- Blend of RLNG and indigenous gas at 75:25 ratio can be offered to the two plants.
