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Press Release Title: Senator Jam Saifullah Khan, Convener Sub-Committee of the Senate Standing Committee on Petroleum presiding over a meeting of the committee in Karachi.

Press Release Date: 6th November, 2026

 A meeting of the Sub-Committee of the Senate Standing Committee on Petroleum was held today at SSGC Headquarters, Karachi, under the convenorship of Senator Jam Saifullah Khan Dharejo to review issues concerning gasification schemes, employment of local people, CSR initiatives, royalty distribution and development projects in oil and gas producing areas of Sindh.   The meeting was attended by Senator Qurat-ul-Ain Marri, MNA Mr. Zulfiqar Sattar Bachani (Special Invitee), Deputy Commissioner Ghotki, Vice Chairman OGRA, representatives of SNGPL, Additional Deputy Commissioners Ghotki and Sukkur, Special Secretary Ministry of Petroleum, CEO SSGCL Ameen Rajput, SGM SSGCL Madni Siddiqui, GM (CSR) OGDCL Mr. Sikandar Ali Sheikh, Chairman DGPC Dr. Nawaz Ahmed Virk and other senior officials.   During the meeting, the Convener emphasized that local communities must receive tangible benefits from the natural resources extracted from their areas through gas facilities, employment, CSR initiatives and development projects.   Senator Qurat-ul-Ain Marri pointed out that villages included in the proposed gasification schemes had been finalized without consultation with local elected representatives. She stressed that local representatives must be consulted before finalization of village lists.   The Convener directed SSGC to coordinate with Senator Marri and MNA, Mr. Zulfiqar Sattar Bachani. The Deputy Commissioners of Sanghar and Tando Allah Yar were also directed to arrange meetings with the elected representatives and SSGC to review the proposed village lists.   MNA Bachani requested a priority survey of villages falling within a five-kilometre radius of UEP and OGDCL operational areas in Tando Allah Yar to assess their eligibility for gas provision.   The Special Secretary, Ministry of Petroleum, informed the Committee that preference is given to local residents in non-technical jobs, while local candidates can also be considered for technical positions after appropriate training.   The Convener emphasized that operating companies must provide meaningful employment opportunities to local communities and arrange technical training to enable local youth to qualify for skilled positions. Senator Qurat-ul-Ain Marri observed that companies were earning billions of rupees annually from natural resources extracted in Sindh, yet the local population was not receiving commensurate benefits. She stressed the need for tangible benefits for affected communities.   The Committee discussed the collection and distribution of royalties and production bonuses. The Special Secretary informed that royalties are transferred to the Government of Sindh for subsequent allocation at district level.   The Convener directed that the Sindh Energy and Finance Departments be invited to the next meeting to provide complete details of royalties received from oil and gas companies and amounts allocated and released to districts.   The Ministry of Petroleum was also directed to provide details of amounts received from companies under different heads and their subsequent transfer to provincial governments. Chairman DGPC Dr. Nawaz Ahmed Virk informed that royalty is payable at 12.5% of well production. The Committee directed DGPC to provide the record of royalties received from different companies during the last 10–15 years and amounts transferred to provinces.   The Convener further directed the concerned CFO to furnish, on official letterhead, complete details of royalties, production bonuses and other payments received and transferred to DGPC. Details of exemptions granted in production bonuses, particularly in Sanghar and other fields, including those relating to OGDCL and other companies, were also sought.   A separate comprehensive discussion on the entire mechanism of collection, transfer and distribution of royalties, production bonuses and other financial benefits was directed to be held in the next meeting.   The Deputy Commissioner Ghotki informed that OGDCL and Mari Petroleum are the major operating companies in the district. He reported that contributions from both companies were pending, two phases of CSR initiatives were underway and the third phase was yet to commence. Approximately 120 villages fall within OGDCL's operational area and 159 villages within Mari Petroleum's area.   The Convener directed SGM SSGCL Madni Siddiqui to coordinate with the Deputy Commissioner Ghotki and review the village lists to identify any deserving villages left out of the schemes. He emphasized that no affected locality should be deprived of its due benefits.   The Committee discussed the repair of Ghotki–Qadirpur Road and establishment of a vocational training school in Ghotki. The Deputy Commissioner informed that suitable land was available and could be allocated for the proposed school.   GM (CSR), OGDCL, informed that a survey of the road had been completed and a consultant would be engaged to prepare the PC-I. The estimated cost would subsequently be submitted to the competent OGDCL forum for approval. He assured the Committee that road repair work would commence shortly and that OGDCL would coordinate with the Deputy Commissioner for construction of a state-of-the-art vocational training school. He assured that all efforts would be made to complete both projects at the earliest.   Concluding the meeting, the Convener reiterated that the benefits of natural resources must reach the people living in the producing areas. He directed all concerned departments and companies to provide the required information, implement the decisions and maintain close coordination with elected representatives and district administrations before the next meeting. 


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