Senate panel for federal-provincial control over resources
ISLAMABAD: A parliamentary panel on Tuesday called for giving provinces half the profits of oil and gas companies or half the wellheads, observing that no proper mechanism exists for implementation of joint and equal control of the federation and provinces over natural resources. The demand was made at a requisitioned meeting of the Senate Functional Committee on Devolution held here under the…
The Senate's Functional Committee on Devolution convened on Tuesday to advocate for provinces receiving half of the profits generated by oil and gas companies or half of their wellheads. This demand arose due to the lack of a proper mechanism to ensure joint and equal control by both the federal government and provinces over the nation's natural resources.
The meeting, chaired by Senator Zamir Hussain Ghumro, examined the implementation of Article 172(3) of the Constitution, which mandates 50/50 management and revenue distribution of natural gas and petroleum resources. Despite 16 years having passed since the 18th Constitutional Amendment, a fully operational framework for this distribution has yet to be established.
The committee expressed frustration over the Ministry of Petroleum's recurring procedural delays and the Council of Common Interests (CCI) being repeatedly consulted without tangible progress. They also lamented the absence of the Petroleum Division's secretary at the meeting. Ghumro underscored his concern over the lack of a detailed mechanism for implementing Article 172(3) and directed the ministry, along with provincial stakeholders, to submit a comprehensive report within 15 days.
The committee deliberated on the provinces' share in federal services, noting that in 38 divisions under the federal structure, representation from provinces like Balochistan remained significantly low at senior administrative levels. The chair emphasized the necessity for rigorous adherence to constitutional shares in recruitment and promotions across all ministries, divisions, attached departments, sub-offices, corporations, and statutory bodies.
The secretary of the Establishment Division pledged commitment to this framework, assured that all government employees fall under provincial share calculations, and pledged to distribute posts to provinces like Sindh and Balochistan where representation was lacking. However, no compliance reports were submitted, prompting the committee to direct the Establishment Division to formulate a mechanism for ensuring provincial representation in all appointments, including promotions, with a report due within two weeks.
The committee also formed a sub-committee to investigate provincial shares in federal services across all grades, including corporations and statutory bodies, in line with Article 38(g). They issued show-cause notices to provincial secretaries of energy and the FPSC for their absence, warning of severe consequences if compliance was not secured.
The chairman warned that the lack of interest in provinces' shares in federal services and oil and gas reserves indicated a lack of efficiency.
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