Latest news with #TechnicalSupplementaryGrant
Business Recorder
3 days ago
- Business
- Business Recorder
ECC approves industrial estate development at PSM land
ISLAMABAD: The Economic Coordination Committee (ECC) of the Cabinet on Wednesday approved several economic measures including the development of industrial estate at Pakistan Steel Mills (PSM) land, leather export facilitation and major grants for climate and media upgrades. The committee met under the chairmanship of Federal Minister for Finance and Revenue Muhammad Aurangzeb, here on Wednesday, to deliberate on key economic and development matters. In a significant decision, the ECC approved the development of an industrial estate on the land of PSM in Karachi, aimed at boosting industrial activity, generating employment opportunities, and attracting investment. Govt decides to develop SEZ on PSM land The ECC considered and approved the removal of the requirement for Health Quarantine Certificates on the import and export of leather, a measure aimed at facilitating the leather industry and enhancing its competitiveness in international markets. The committee also approved a Technical Supplementary Grant (TSG) for the Ministry of Climate Change and Environmental Coordination for the current financial year 2025-26, enabling the ministry to strengthen its initiatives for environmental protection and climate resilience through participation in the upcoming 30th Session of the Conference of Parties (COP-30) to be held in Brazil later this year. Furthermore, the ECC sanctioned a TSG amounting to Rs2,829 million in favour of the Pakistan Television Corporation (PTVC) for the upgradation of its English News Channel to improve broadcast quality and expand outreach to global audiences. The committee urged the ministry to develop a comprehensive business plan to make the channel self-sufficient and financially sustainable, thereby reducing dependence on federal grants in the future. The chair underscored the importance of timely and effective implementation of these decisions to ensure their intended economic and social benefits. Copyright Business Recorder, 2025
Business Recorder
3 days ago
- Business
- Business Recorder
ECC approves industrial estate at PSM land, leather export facilitation
The Economic Coordination Committee (ECC) of the federal cabinet on Wednesday approved several key economic measures, including the establishment of an industrial estate on Pakistan Steel Mills (PSM) land, the removal of health quarantine requirements for leather exports, and major supplementary grants for climate and media projects. The meeting, chaired by Finance Minister Senator Muhammad Aurangzeb, was attended by Minister for Power Sardar Awais Ahmed Khan Leghari, Minister for Commerce Jam Kamal Khan, federal secretaries and senior officials. The ECC approved the removal of the requirement for Health Quarantine Certificates on the import and export of leather. The move aims to facilitate the leather industry and enhance its competitiveness in global markets. ECC approves rollout of EV subsidy, other grants A Technical Supplementary Grant was also approved for the Ministry of Climate Change and Environmental Coordination for the fiscal year 2025-26. The allocation will support Pakistan's participation in the 30th Session of the Conference of the Parties (COP-30) in Brazil later this year, as part of broader efforts to strengthen environmental protection and climate resilience. The committee sanctioned Rs 2.829 billion for Pakistan Television Corporation (PTVC) to upgrade its English news channel in order to improve broadcast quality and expand outreach to global audiences. The ECC directed the Ministry of Information to prepare a comprehensive business plan to make the channel self-sustainable and reduce reliance on federal grants. ECC approves key policy interventions in EFS In a significant industrial development, the ECC approved the creation of an industrial estate on PSM land in Karachi, a project aimed at boosting industrial activity, generating jobs, and attracting investment. Aurangzeb emphasised the need for the timely implementation of the approved measures to ensure their intended economic and social benefits.
Business Recorder
02-08-2025
- Business
- Business Recorder
Re-appropriation, funds allocation strategy notified: No supplementary grant for unbudgeted spending: FD
ISLAMABAD: No supplementary grant for any additional unbudgeted spending over the parliamentary approved level shall be considered by Finance Division, except in cases of severe natural disasters. The Finance Division notified the strategy for re-appropriation and additional allocation of funds during financial year, which noted that no supplementary grant for any additional unbudgeted spending over the parliamentary approved level shall be considered by Finance Division, except in cases of severe natural disasters. However, where no funds can be made available through re-appropriation and technical supplementary grant (TSG), the following shall be required: Principal Accounting Officers (PAOs) certifies that all avenues have been exhausted, which is to be verified by the relevant Accounting Organization/Office; PAO provides valid justification and cogent reasons for demanding SG; Recommendation of Expenditure Wing or concerned Wing of the Finance Division; Govt to present Rs203.34bn supplementary, excess grants in NA today The procedure reflected in para 3 relating to Technical Supplementary Grant at sub-paras (i)-(vi) shall also be followed for supplementary grant. The notification further stated that any request for provision of funds through TSG shall only be submitted by PAOs, with identification of resources under other demand(s) and certificate that equivalent funds will be provided by ministry/division from their allocation. Expenditure Wing shall examine the TSG cases in detail and submit recommendation for consideration of Budget Wing, Finance Division. TSG cases relating to Public Sector Development Programm (PSDP), after meeting the requirements mentioned above, shall be processed through the Planning, Development and Special Initiatives Division. Budget Wing, Finance Division shall examine the cases in the light of Budget Execution Report of SAP system, recommendation of Expenditure Wing and available fiscal space before submission to Finance Secretary for consideration and approval. Approved TSG by the Federal Cabinet, the PAO shall submit the schedule of TSG, duly endorsed by the Expenditure Wing, Finance Division, along with copies of the Summary for ECC and decision of the Economic Coordination Committee (ECC) of the Cabinet, ratification of the Cabinet and surrender order to Director (Budget Computerization), Budget Wing, Finance Division for entry in SAP system. Funds approved through TSG shall be released by the Finance Division keeping in view the availability of funds and in line with Release Strategy. The notification stated that in pursuance of the Article 84 of the Constitution of Islamic Republic of Pakistan and Section 10 of PFM Act 2019, if the amount authorized to be expended for a particular service for a financial year is found insufficient, or that a need has arisen for expenditure upon some new service not included in Annual Budget Statement (ABS) and Schedule of Authorized Expenditure the following steps shall be taken by the PA0s or Heads of the Departments/Organizations/Sub-ordinate Offices. Authorized Officer may re-appropriate funds in line with delegated financial powers for re-appropriation of funds under Sr#5 of Schedule of Financial Management and Powers of PAOs Regulations, 2021, as amended by Finance Division from time to time. However, no re-appropriation shall be made from unreleased budget. PAOs have been provided additional funds to meet funding requirements of adhoc Relief Allowance announced in the budget for current fiscal year under a separate cost centre in each Demand for Grants and Appropriations. PAOs are, hereby, advised to re-appropriate these funds, in consultation with Expenditure Wing, Finance Division, only for the purpose of Adhoc Relief Allowance in quarter 3 of CFY. In case of shortfall in ERE allocation during the fiscal year, re-appropriation of funds from Non-ERE 'Heads of Accounts' may be made on priority basis; Re-appropriation orders duly approved by the competent authority shall be provided to the Accounting Organizations/Offices for entry into SAP system. However, released funds shall remain within the prescribed quarterly limits given by the Finance Division in the Strategy for Release of Funds of CFY.' It was observed that a large number of cases for relaxation of cut-off date for re-appropriation of funds i.e. 31st May, under Section 11 of PFM Act 2019, are received in Finance Division during June every year. It has been decided that the re-appropriation orders shall only be considered, which duly approved by competent authority and following nature: For adjustment of excess expenditure booked in accounts offices. To meet shortfall under ERE heads of accounts; Unavoidable payments which mature in June; vi. Copies of the approved Re-appropriation Order shall be provided to the Expenditure Wing and Budget Wing (Budget Computerization Section) Finance Division for record and monitoring purposes. Copyright Business Recorder, 2025
Business Recorder
24-05-2025
- Business
- Business Recorder
Extra subsidy needs: MoF asks ministry to allocate Rs50bn for PD to secure TSG
ISLAMABAD: The Ministry of Finance has asked the Ministry of Planning, Development and Special Initiatives (MPD&SI) to surrender Rs 50 billion in favour of Power Division to obtain Technical Supplementary Grant (TSG) of equivalent amount to meet additional subsidy requirements, sources told Business Recorder. Recently, the Economic Coordination Committee (ECC) of the Cabinet approved allocation of Rs 50 billion from Public Sector Development Program (PSDP) to Power Division as subsidy to meet the Circular Debt (CD) targets agreed with the International Monetary Fund (IMF). On May 5, 2025, Power Division briefed the ECC that the Prime Minister's Office conveyed to Power Division on May 13, 2024 to firm up a plan for off-grid solutions including solarisation of tube wells in Balochistan in the upcoming budget for FY 2024-25. Development schemes in Punjab: Govt to approve Rs430m TSG Subsequently, consultative meetings were held under the chair of Minister for Power and Chief Minister Balochistan in which Minister for Commerce, Minister of State for Power, Provincial Ministers of Balochistan, Secretary, Power Division and Chief Secretary, Balochistan besides Power Sector specialists, participated. The recommendations were presented before the Prime Minister during a meeting on February 2, 2024 wherein the forum was pleased to decide solarisation of about 27,000 agricultural tube wells through compensation of up to Rs.2.000 million for each tube well having legal electricity connection subject to disconnection from the grid. It was also decided that cost of providing part financing for solarisation of these tube wells amounting to approximately Rs.55.000 billion should be borne by Government of Pakistan and government of Balochistan at a ratio of 70% and 30% respectively. Accordingly, a detailed Agreement, with implementation mechanism in the form of Standard Operating Procedures and a Steering Committee, was signed on July 8, 2024 by the Secretary, Power Division and Chief Secretary, Balochistan on behalf of respective governments. Approval of the Cabinet was received on July 31, 2024. So far, the federal government has released an amount of Rs.14 billion through Technical Supplementary Grant (TSG) from the budgetary allocation of the National Food Security and Research Division under the Prime Minister's National Programme for Solarisation of Agriculture Tube wells in Pakistan. The Power Division further briefed the forum that the remaining amount of Rs.24.5 billion is to be provided from the allocation under 'additional subsidy' for the power sector, as proposed by Finance Division. In this regard, it was highlighted that in order to achieve the revised CD flow target of Rs.337 billion by June 2025, Power Division needs to utilize the full amount of budgeted subsidies of Rs.1.229 trillion against the payables. It was also highlighted that Federal Cabinet on July 8, 2024 approved reallocation of Rs.50 billion from PSDP to fund the additional tariff differential subsidy requirement. This was also part of Rs 1.229 trillion allocated for power sector subsides. Accordingly, Power Division argued that presently the same amount can be allocated from the power sector budget allocation as proposed by the Finance Division. However, in case of any shortfall, the same amount should be remitted back to Power Division in June 2025 to meet the CD targets agreed with the Fund. Power Division submitted the two following proposals: (i) direct the Finance Division to surrender Rs.50 billion from PSDP to lump provision for power subsidy in Demand No.45 of Finance Division as per Cabinet approval of July 8, 2024; and (ii) Technical Supplementary Grant of Rs.24.500 billion from the demand No.45 of Finance Division to Power Division Demand No.33 for implementation of the Solarisation of Agricultural Tube wells in Balochistan. During the ensuing discussion, the forum was informed that the decision on solarisation was taken in July last year so the amount could not be budgeted and is being claimed now through TSG which should fully discharge the federal government responsibility of its share of the scheme. Copyright Business Recorder, 2025
Express Tribune
22-05-2025
- Business
- Express Tribune
Rs146m allocated for Balochistan officers
Amid ongoing law and order situation in Balochistan, the government has expedited the work on implementing "incentive package and policy" for the officers posted in the province and devised a standard operating procedure (SOP) for the allocation of funds. In a recent meeting, the Finance Division briefed the Economic Coordination Committee (ECC) that the prime minister had approved the revised Incentive Package for PAS and PSP officers posted under the Government of Balochistan (GoB) on January 9, last year. Accordingly, the Establishment Division on January 29, 2024 notified the package, which aimed at motivating the PAS and PSP officers from outside Balochistan to be posted in Balochistan by addressing concerns like high cost of living, lack of facilities, support and social isolation. An SOP had been devised in consultation with the Establishment Division to allocate funds for the under the package, the ECC was informed. As per the SOP the Establishment Division would coordinate with the Balochistan government on a bi-annual basis. The SOP stipulated that funds would be surrendered to the consolidated account of the Balochistan government in favour of the Finance Division. The Finance Division would release the funds after obtaining the Technical Supplementary Grant (TSG) from the ECC. Accordingly, the Finance Division surrendered Rs146,413,696 for onward transfer to the Balochistan government in order to meet the demand under the Finance Division's allocation for FY 2024-25. The ECC's approval for the TSG was obtained under Grants, Subsidies & Miscellaneous Expenditures head.
