Govt, JI agree to form committees to recommend reduction in petroleum levy

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The federal government and Jamaat-i-Islami Pakistan (JI) on Thursday agreed to constitute committees to recommend measures for reducing the petroleum levy and providing relief to the public.

JI Emir Hafiz Naeemur Rehman, Planning Minister Ahsan Iqbal and Prime Minister’s Adviser Rana Sanaullah announced the decision at a press conference in Lahore.

Addressing the press conference, Planning Minister Ahsan Iqbal said a government delegation had met the Jamaat-i-Islami (JI) leadership in Lahore.

He said the government would constitute an expert committee and had asked the JI to form a similar committee to jointly discuss measures for reducing the petroleum levy.

The government levies Rs114 per litre in taxes and duties on petrol and Rs100 per litre on diesel.

“The government will happily act upon recommendations put forward by these committees,” Iqbal said, adding that both the government and JI agreed that relief should be provided to the public.

“We requested them [JI] to form a team, and then we will negotiate on practical recommendations for relief,” he said.

The government would also present its position and take action on the recommendations put forward by the committees, the minister added.

“Pakistan’s interest is a priority,” Iqbal said, adding that the government would not allow any foreign element to exploit internal instability. “We have to work together for internal peace and stability.”

According to the minister, the JI had assured the government that it would not make any demand that was against the country’s interests.

Addressing the press conference, the JI chief said his party and the government had discussed the petroleum levy and other matters during a meeting earlier in the day.

He said Thursday marked the 19th day of JI sit-ins against the petroleum levy at more than 20 locations across the country.

“There is no personal agenda behind the sit-ins; it is based on issues faced by the public on a daily basis, along with other major problems,” he said.

Rehman added that ordinary citizens were bearing a disproportionate tax burden on petroleum products. “A common bike rider, whose income is non-taxable, is paying 35pc in taxes on every litre of petrol,” he said.

He said the party had agreed with the government to constitute an expert committee, headed by Liaquat Baloch. The committee would include Naveed Ali Baig, Ziaddun Ansari, Nasrullah Randhawa and Farasat Shah.

“Primarily, we think that the petroleum levy should be abolished and petroleum prices should be lowered,” he said.

The JI chief assured the government that the JI would not make “obstinate demands”.

He further stated that the government delegation had requested the party to postpone its sit-ins, but the JI had decided to continue the protests alongside negotiations with the government.

Meanwhile, Prime Minister’s Adviser Rana Sanaullah said the committees formed by the JI and the government would reach a workable solution within two weeks.

He said the government would act on the recommendations put forward by the committees.

On August 16, the JI announced sit-ins in all the provincial capitals of Pakistan against the petroleum levy.

It had also called a nationwide strike on September 3.

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