Prime Minister Imran Khan has decided to withdraw the GIDC ordinance – 247 City News

247 City News

World’s Most Authentic News Portal

Prime Minister Imran Khan has decided to withdraw the GIDC ordinance

2 min read

ISLAMABAD: Prime Minister Imran Khan has decided to withdraw the ordinance which allowed to waive off Rs 210 billions of Gas Infrastructure Development Cess (GIDC).

The statement issued by the PM Office on Wednesday said “the prime minister, in the interest of transparency and good governance, has decided to withdraw the said Ordinance and direct the Attorney General to move an application for an urgent hearing in the Supreme Court.”

Though, the statement added that “the prime minister wishes to inform the nation that going to the court carries a risk because the decision could go either way.”

It explained that the government could get the whole amount or could lose it all, and possibly forgo any prospects of future revenue collections under this head.

“Also on top of this, the government could be saddled with the burden of administering refunds of approximately Rs295 billion of the principal amount.”

The PM office identified that the total amount in the GIDC proceedings from January 2012 till December 2018 is nearly Rs417 billion, and the apex court canceled the GIDC statute during the first round of litigation. The federal government’s review appeal was also rejected by the SC in this regard.

“Thereafter, fresh legislations were brought about, which are presently under challenge before the Provincial High Courts and a set of appeals is also pending in the Supreme Court.”

The government faced disparagement in recent days for granting major discount on around Rs 420bn GIDC, payable by fertiliser plants, power plants, general industry and the CNG sector. It prolonged Rs 210 billion waver to the gas sector businesses under the GIDC ordinance.