Staff Report
ISLAMABAD: Former Prime Minister and senior leader of Pakistan Muslim League-Nawaz, Shahid Khaqqan Abbasi, has tendered his resignation from the Economic Coordination Committee (ECC) of the Cabinet.
Sources indicate that his decision came as a result of alleged differences with State Minister for Petroleum, Dr. Musadik Malik, concerning the liquefied natural gas (LNG) deal with Azerbaijan’s SOCAR (State Oil Company of Azerbaijan Republic).
It is reported that Abbasi advocated for a private company to procure LNG from SOCAR, rather than signing a government-to-government agreement. However, his recommendations were not included in the ECC summary titled ‘Approval of Framework Agreement between PLL and SOCAR,’ according to sources. A heated debate reportedly ensued between Dr. Musadik Malik and Abbasi during the ECC meeting held on June 5, 2023, regarding the signing of the LNG procurement agreement between Pakistan LNG Limited (PLL) and SOCAR.
While the ECC did not reach a decision at that time due to the intense exchange, the Petroleum Division resubmitted the summary on June 14, 2023, without incorporating Abbasi’s recommendations. Consequently, the ECC granted approval to PLL to proceed with the proposed framework agreement with SOCAR. In response, Shahid Khaqqan Abbasi submitted his resignation from the ECC, citing the ECC’s decision to allow PLL to enter into the agreement with SOCAR, as per sources.
Sources further added that the ECC’s decision aimed to safeguard the country’s interests. The ECC’s decision on the Petroleum Division’s summary included modifications and amendments related to LNG cargo, pricing, contractual obligations, port charges, and the requirement for RLNG demand projection in advance.
