PAC flags over Rs20 billion audit objections in Petroleum Ministry, questions levy recoveries

The Public Accounts Committee (PAC) on Tuesday examined audit objections exceeding Rs20 billion related to the Ministry of Petroleum, focusing on unpaid petroleum levies, penalties, and weak enforcement that auditors say caused losses to the public exchequer, according to a news report.

Chaired by Syed Naveed Qamar, the committee reviewed cases involving Rs14.63 billion in outstanding petroleum levies and penalties attributed to Hascol and Synergy. Members questioned the prolonged delay in recovery and sought details on amounts realised to date.

Audit officials told the PAC that recoveries so far stood at only Rs190 million. The disclosure prompted concerns over oversight and follow-up by the relevant authorities.

The petroleum secretary informed the committee that Hascol had paid the amount but said it was deposited into an incorrect account. However, the auditor general stated that the account had since been closed, making rectification of the record no longer possible.

The committee directed the ministry to submit a detailed report on recovery efforts, responsibility for the lapse, and measures to prevent similar failures in levy collection and accounting.