Use of CNG in public transport banned

ABDUL RASHEED AZAD

ISLAMABAD: The Oil and Gas Regulatory Authority (Ogra) has clamped immediate ban on the use of compressed natural gas (CNG) in public transport vehicles to prevent deadly accidents, ease gas shortage and improve gas pressure.

The decision was taken in a meeting headed by the chairman Ogra here on Friday. The buses that have cylinders on roofs and underneath will be banned. Ban has been imposed after dialogue with the CNG Association.

Ogra further directed All Pakistan CNG Association (APCNGA) to immediately stop refuelling vehicles - buses, cars and wagons with cylinders installed beneath the passenger seats or on roof tops as such installation is in violation of the Safety Code.

The directions were given by Ogra Chairman Sabir Hussain here in a meeting which was also attended by representatives of APCNGA, Relevant officials of Hydrocarbon Institute of Pakistan (HDIP), Ogra and the Explosives Department to discuss various preventive measures to avoid occurrence of fire incidents in CNG fitted public transport.

During the meeting APCNGA submitted its plan for certification of vehicles at authorised workshops/CNG Stations to eliminate refuelling of unauthorised/substandard CNG converted public transport vehicles ie buses, mini-buses, vans, mini-vans, etc.

The meeting was informed that OGRA has already disconnected 13 CNG Stations today, which were found violating the refuelling procedure/Standard Code of Practice as a part of ensuring public safety at large.

Ogra directed APA to immediately nominate their diploma holders for one week training at HDIP as conveyed to APA by HDIP vide HDIP’s letter dated 29-12-2011.

Taxing times: CAA imposes new airport taxes for 2012

The CAA and the Sindh government have sent notices to airlines informing them about the upcoming levies.

The Civil Aviation Authority (CAA) has doubled the airport tax for international and domestic passengers with effect from January 1, 2012.  In specific terms, the tax for the economy class passengers has been increased from Rs500 to Rs1,000 per head whereas for the business class passengers the tax has been spiked from Rs1,000 to Rs2,000 per person. The CAA has also imposed Rs540 and Rs180 per person as Infrastructure Development Tax and Security Tax. However, it has not been decided whether the two taxes would be included in tickets or received from passengers in cash at airports.

The airlines are of the view that both these taxes will increase their cost of operations. Another concern of airlines is the levy of taxes on airport services in Sindh province through the Sindh Sales Tax on Services (Amendment) Ordinance 2011 issued by SBR.

Chairman Board of Investment (BoI) Saleem H Mandviwalla also wrote a letter to Federal Minister for Defence Chaudhry Ahmed Mukhtar on December 20, 2011 in which he pleaded the case of airlines.

When contacted, the spokesperson of CAA Pervez George said that ‘meetings between the stakeholders are under way’ and that this was all he had to say on this matter.

International Air Transport Association (IATA), on December 3, 2011, wrote a letter to DG CAA, Air Marshal (retd) Khalid Choudhry saying that such ‘revisions should not have been implemented without prior consultation with the airlines’.

CAA officials say that Pakistan is already three to four times cheaper than regional airports and that the new taxes on airlines will not even cover half of the annual rate of return on CAA’s equity.

Transporters observing strike against CNG closure

KARACHI: Transporters are observing strike in Karachi against closure of CNG stations on Saturday, Geo News reported.

Talking to 'Geo News' President Karachi Transport Ittehad (KTI) Irshad Bukhari said their business is badly affected by two-day weekly CNG closure, adding that transporters would register their protest by observing strike today.

CNG stations would remain close in Sindh on Saturday following the gas load management program. Due to CNG closure and transport strike, commuters are facing severe difficulties as no public transport is available on roads.