Legal Opinion Sought to Recover Levy on CPPs

Levy on CPPs

Staff Report

The Directorate General of Gas ( Petroleum Division) seeks legal opinion relating to recover levy on CPPs.

In a letter to concerned stakeholders, the Directorate General of Gas has clarified that since billing for the months of February and March 2025 has already been done by Sui companies whereas notification of CPP levy rate of March 7, 2025 remained suspended until amended order was issued by the Islamabad High Court, therefore, a mechanism for recovery of levy arrears for the said months while remaining with the legal framework of the CPP Levy Ordinance, 2025 is being worked-out. Nepgra grants operator license to CPPA

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In this context, legal opinion has been solicited from the Law and Justice Division as well AG Office in the matter of retrospective applicability of the notified rate of levy of March 7, 2025, for the said months as well as its recovery thereof from consumers.

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According to DG(Gas), it is understood that the notification of the rate of CPP levy of March 7, 2025, is in the field and has not been withdrawn, however, as soon as clarity on the above legal query is received, the Petroleum Division will advise the Sui companies to proceed accordingly.

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