Islamabad January 17 2025: Federal Minister for Finance and Revenue, Senator Muhammad Aurangzeb on Friday chaired a meeting of the Economic Coordination Committee (ECC) which discussed and approved the proposal from the Power Division regarding the revision in the annual rebasing determination timeline.
“Policy guidelines were approved to be issued to NEPRA for revising the annual tariff determination process timeline by amending the legal and regulatory framework,” a news release said.
The ECC directed that rebasing should be notified with effect from January 1, 2025, onward each year, following the completion of regulatory proceedings. It authorized the Power Division to approach NEPRA for the implementation of these policy guidelines.
The ECC also approved the proposal of the Ministry of National Food Security and Research for the allocation of additional funds as a Technical Supplementary Grant (TSG) of Rs910 million for the establishment of the National Food Safety, Animal, and Plant Health Regulatory Authority (NFSAPHRA).
The forum deliberated upon the proposal of the Ministry of Industries and Production regarding the disbursement of salaries to Pakistan Steel Mills (PSM) employees for the financial year 2024-25 (projected).
The committee authorized the Finance Division to approve the payment of the projected net salary of Rs. 935.78 million for FY 2024-25, to be disbursed monthly according to the salary demand of PSM. These funds would be provided from the already approved budgetary allocation of Rs. 3.5 billion.
The Ministry of Commerce presented a proposal seeking an extension of regulatory duties on finished flat steel products.
The ECC approved the extension of duties on relevant iron and steel flat products until March 31, 2025, as recommended by the Tariff Policy Board during its 61st meeting held on December 26, 2024.
However, the ECC emphasized that no further extensions would be entertained, referencing the Federal Government’s authority under Sub-section 3 of Section 18 of the Customs Act, 1968.
The ECC approved a request from the Ministry of Foreign Affairs for a Technical Supplementary Grant (TSG) of Rs. 90.275 million during the current financial year 2024-25. These funds would be utilized to disburse payments to PAF and PIA, ensuring operational efficiency.
The ECC also approved the proposal of the Ministry of Interior for the provision of funds for operational requirements of the Frontier Corps (FC) North during the current financial year 2024-25. A Technical Supplementary Grant of Rs. 941.400 million was sanctioned to meet the operational needs of the Frontier Corps.
The proposal from the Ministry of Maritime Affairs regarding the withdrawal of bank guarantees for Afghan Transit Trade facilitation through Gwadar Port was also considered. The ECC approved replacing the bank guarantees, imposed on October 7, 2023, for the import of Di-Ammonium Phosphate (DAP) under APTTA, with insurance guarantees.
Lastly, the ECC considered the proposal of the Ministry of Overseas Pakistanis and Human Resource Development for budget proposals for FY 2024-25 and revised estimates for FY 2023-24 regarding Employees’ Old-Age Benefits Institution (EOBI).
The ECC expressed strong displeasure over the delayed submission of the proposals by EOBI and MOPHRD.
While the budget proposals for FY 2024-25 were reluctantly approved, the revised estimates for FY 2023-24 were not approved.
The ECC also registered its concerns over the delay in EOBI audits, with the last audit conducted in 2019.
Relevant authorities were directed to thoroughly investigate the delay and submit an update to the ECC within one week.
Finance Minister Senator Muhammad Aurangzeb emphasized the importance of efficient and transparent implementation of all decisions to achieve desired outcomes.
The meeting was attended by Ahsan Iqbal Chaudhry, Minister for Planning, Development and Special Initiatives; Rana Tanveer Hussain, Minister for Industries and Production; Ahad Khan Cheema, Minister for Economic Affairs; Jam Kamal Khan, Minister for Commerce; Sardar Awais Ahmed Khan Leghari, Minister for Power; Chairman FBR; ED SECP; Federal Secretaries; and senior officers from relevant ministries and divisions.
