Govt Likely to Further Increase Gas Prices For Fertilizer, Cement Manufacturers Next Fiscal Year

The federal government has shared with the International Monetary Fund (IMF) a plan to substantially increase gas prices next fiscal year for various sectors including domestic users, fertilizer plants, CNG stations, and cement factories, prominent sources told ProPakistani.

The economic team has shared a comprehensive circular debt management plan with the IMF. Sources said the initial proposal suggests raising the gas rate by Rs. 100-400 for both protected and non-protected consumers, besides proposals for tariff adjustments to manage the circular debt in the gas sector.

The government has informed the IMF that plans not to increase gas rates for commercial tandoors. The IMF’s economic team has been in talks with the government about tariffs, revolving credit, and reforms for the gas sector.

A dividend scheme was discussed as part of the debt reduction strategy, sources added.

Both sides have agreed to promptly share data on recovery, reforms, and tariffs with the IMF to ensure the smooth implementatio
n of the proposed changes.

The federal government last week informed the lending agency that it expects circular debt to increase by Rs. 150 billion to reach Rs. 2.5 trillion by the end of the current fiscal year. This massive jump in power sector debt violates the pre-determined targets set by the lender last year to keep it controlled at Rs. 2.31 trillion.

IMF had requested a detailed plan from the Power Division to prevent further increases in the debt. This plan, which was also supposed to include proposals for tariff adjustments to manage the gas sector circular debt, has been shared with the lender today.

Source: Pro Pakistani

Innovative Pvt Ltd (IPL) Clinches ‘Best Performance Award’ At Diebold Nixdorf Partner Summit 2024

Innovative Pvt Ltd (IPL) has once again proven its market leadership by securing the prestigious ‘Best Performance Award’, recognized as the top award of the region, at the Diebold Nixdorf Partner Summit 2024. This marks the fourth consecutive year that IPL has been honored at the summit, solidifying its status as a dominant force in the field of Self-Service Banking Solutions. With this latest accolade, IPL has now won a total of seven Diebold Nixdorf Awards, highlighting its consistent excellence and industry leadership.

Over the past three years, IPL has consistently demonstrated exceptional performance and innovation, earning accolades such as the Best Market Penetration Award 2022-23, the Best Market Share Growth Partner Award 2021-22, and the Strategic Win Award 2020-21. This year’s recognition further underscores IPL’s steadfast commitment to excellence and its pivotal role in driving industry standards.

Reflecting on this milestone, Naveed Ali Baig, CEO Innovative Pvt Ltd (IPL) said: ‘We are incred
ibly honored to receive the Best Performance Award at the DN Partner Summit 2024. This achievement is a reflection of our team’s hard work, dedication, and our continuous pursuit of excellence. We are proud to be recognized by Diebold Nixdorf, a global leader in banking and retail technology, and we remain committed to advancing innovation and excellence in our services.’

The Best Performance Award is a testament to IPL’s outstanding achievements in market coverage, customer satisfaction, and technological innovation. It reflects the company’s dedication to delivering cutting-edge solutions and unparalleled service in Pakistan and Afghanistan, representing industry giants.

Source: Pro Pakistani

CCP Takes Notice of Dangerous Stunts in Adverts of Energy Drinks

The Competition Commission of Pakistan (CCP) has taken notice of extremely dangerous stunts performed in the TV Commercials (TVCs) of leading beverage manufacturers.

These stunts promote soft and energy drinks without advising viewers not to attempt similar stunts independently on their own, as they have been performed by professional experts under proper safety arrangements and are fictional displays.

The Commission has issued letters to various beverages firms to explain their position vis-à-vis showcasing physical stunts with bikes, cars and other extraordinary performances enabled by or for a few sips of the advertised drinks.

While, screening of such stunts is not a violation of Pakistan’s Competition Law, the absence of proper disclaimers advising viewers to avoid attempting such stunts amounts to withholding material information from their consumers, especially young adults.

CCP has warned these companies of their potential violation of Section 10(2) (b) of the Competition Act, 2010. This section
prohibits the dissemination of false or misleading information to consumers. The non-disclosure of material information or relevant disclaimers also amounts to deceptive marketing practices and constitutes a violation of this section.

The Commission has explained that ‘misleading information’ refers to statements that can give a wrong impression, lead to errors in conduct, thought or judgment, misinform due to vagueness or omission, and may not necessarily be deliberate. It further clarified that ‘false information’ includes statements that are contrary to truth or fact, imply conscious wrongdoing or culpable negligence, have stricter and stronger connotations, and are not readily open to interpretation.

The CCP has directed the companies to explain their non-compliance with the explicit provisions of Section 10 of the Competition Act, 2010, regarding the subject TV Commercials. The companies are required to furnish their explanations within seven days of the issuance of the Commission’s letters.

Pro Pakistani

Euronet Focuses on Card Processing, & Withdraws its Bulk Transfers and Instant Credits PSO/PSP License

Euronet Pakistan, the largest card processor in Pakistan and a global leader in payment processing and transaction services is realigning its strategic focus and will no longer pursue its PSO/PSP license for Bulk Transfers and Instant Credits.

This decision and strategic realignment reflect Euronet’s commitment and dedicated focus on expanding its card processing market footprint in Pakistan, increased focus on collaborations with banks and partners, and enhancing the accessibility and efficiency of banking and payment services, in line with the SBP financial inclusion strategy, by integrating its advanced global technologies and solutions to ensure superior and regulatory compliant services for clients and partners.

While Euronet remains dedicated to delivering innovative financial solutions and adding value in the local payments landscape, it is the second company to re-strategize its plan to establish itself as a PSO/PSP entity for the designated services without affecting the current business services.

Earlier, MobiDirect Pvt Ltd also changed its plan for setting up an E-commerce Gateway in Pakistan.

Euronet Pakistan is the division of Euronet Worldwide, a US-based NASDAQ listed company that has been operating in Pakistan since 2010. It is driving over 70% of the POS volume and running debit and credit card programs and driving ATMs for the leading banks and financial institutions through its data center facilities in Pakistan.

Source: Pro Pakistani

SNGPL Urges Petroleum Division to Help Settle Rs. 84 Billion Payment to PSO

Sui Northern Gas Pipelines Limited (SNGPL) has urgently asked the Petroleum Division to help settle outstanding dues of Rs. 84 billion owed to Pakistan State Oil (PSO) by May 31, 2024.

This payment is crucial for clearing RLNG supplies and equalizing gas rates with SSGC, reported a national daily.

SNGPL faces financial strain in meeting RLNG and indigenous gas supply targets, having paid Rs. 41.5 billion to PSO but still owes Rs. 84 billion.

The plan for PSO payments relies on payment of outstanding dues from the power sector, SSGC, RLNG diversion subsidy, fertilizer sector subsidy, and normal collections. All of these receivables amount to roughly Rs. 84 billion.

SNGPL has appealed to all stakeholders to fulfill their commitments promptly to avoid disrupting the RLNG supply chain and defaulting on PSO payments. The gas supplier has urged the Petroleum Division to facilitate the payment of the outstanding amount in order to clear all payments owed to PSO.

Source: Pro Pakistani