Pakistan Forms High-Level Committee to Review Cross-Subsidy System and Oil Marketing Profits Ahead of Budget
ISLAMABAD: Prime Minister Shehbaz Sharif has constituted a high-level committee ahead of the upcoming federal budget to review the country’s cross-subsidy system and examine alleged extraordinary profits of oil marketing companies (OMCs) following fluctuations in global oil prices after the Gulf conflict.
The committee, formed on the prime minister’s directives, will also assess key fiscal and economic priorities for the next budget, including austerity measures, prioritization of development spending, energy sector reforms, and implementation of rightsizing initiatives across various ministries and divisions.
Federal Minister for Finance Muhammad Aurangzeb will head the committee, while the ministers for economic affairs, planning, and law will serve as its members. Former bureaucrat Musharraf Rasool has been appointed as the chief technical adviser, and the additional secretary budget will also be part of the panel.
Officials said the committee will specifically review reported excess profits of around Rs72 billion earned by oil marketing companies during periods of global price volatility and geopolitical uncertainty.
The body is expected to present recommendations before the announcement of the federal budget, focusing on improving fiscal discipline, ensuring energy sector transparency, and streamlining public expenditures.
