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ECC meets today

ANWAR RAJANI

KARACHI: Withdrawal of Wapda's subsidy to local bodies, increase in National Logistic Cell (NLC) tariff and the fixation of the procurement prices of wheat are the main items on the agenda of the Economic Coordination Committee of the Cabinet (ECC) which is meeting in Islamabad on Tuesday (tomorrow).

Wapda and local bodies reached accord in 1998 which says that no octroi will be charged from Wapda and it will in return, will give 40 percent subsidy on electricity bills. Now Wapda has sent a summary to ECC, seeking withdrawal of subsidy as, according to the summary, Wapda is incurring 25 percent loss because of the subsidy.

NLC brings crude oil of Union Texas from Badin to Karachi and transports crude oil from OGDC fields to different parts of the country. The NLC has demanded 20 percent increase in its tariff.

The white oil pipeline is under construction for bringing oil form Pipri (Karachi) to Muzaffargarh. According to its original plan contract was given to Parco to complete this pipeline by the year 2000. But due to some unavoidable circumstances, the completion of this pipeline will take two more years.

The ECC is likely to allow a couple of years extension to Parco to complete this pipeline.

The harvesting of wheat crop in Sindh is to start in March. The ECC is likely to increase the procurement price to Rs 300 per maund in Sindh.