Shehbaz warns of clampdown on tax evasion; calls for broadening tax net without burdening honest tax payers n Says govt given public mandate, answerable to masses n Directs to ensure uninterrupted supply of power, gas to consumers during Ramazan.

 

ISLAMABAD  -  Prime Minister Shehbaz Sharif on Monday regretted that elite classes in the country had monopoly over the 90 percent resources of the country and stressed that they did not de­serve any subsidies.

The prime minister underscored that they required to control the is­sue of tax evasion and power and gas thefts to ensure availability of maxi­mum resources for the development of the country. He further said that the government was ensuring all out efforts for the availability of dai­ly commodities during the holy month of Ramazan at affordable prices and declared that no lenien­cy in this regard would be tolerat­ed. The PM said this while chairing an inaugural session of the Federal Cabinet here on Monday. 

Highlighting the huge econom­ic challenges said that the mass­es had given them the responsi­bility to address these serious issues and they were equally an­swerable to the people who had given them a mandate to form the government. 

He took strong exception of price hike of food items in the country and directed the imme­diate formation of a committee to control the prices of essential food items in the country. The prime minister ordered that the committee, in collaboration with the provincial governments, will strictly monitor the prices of es­sential food items. The Prime Minister directed that a strict ac­tion will be taken against unjus­tified price increase and profi­teering in essential commodities. He warned that no leniency will be tolerated in this regard.

“On one hand, the common man is being crushed under bur­den of price hike, but on the oth­er, the rich had control over 90 per cent of country’s resources,” he observed and called upon the well to do to play their due role for the national prosperity. 

In response to a recommen­dation by the Ministry of Com­merce, the Federal Cabinet ap­proved a restriction on the export of onions and bananas until 15th of next month. This measure aims to ensure ample availability in the market during the blessed month of Ramazan.

The prime minister said that during their previous 16-month government, the people had wit­nessed their performance, add­ing that they saved the country from running into default. 

The prime minister said when they assumed the reigns of the previous government, they had two choices; either to sit as silent spectators or be counted, at that time they had decided to take re­sponsibility of the country. Then the interim government followed them but the economic situation in the country was stable and did not worsen, he opined.

The prime minister said that once more, they took the re­sponsibility of steering the coun­try out of the huge challenges and without wasting time, they should tread upon that path leading to destination.

Felicitating the nation on the arrival of Ramazan, he said that about Rs12 billion Ramazan Package was being initiated un­der which the edible items at the Utility Stores and mobile utility stores would be provided to the poor and deserving. 

Besides, under Benazir Income Support Programme (BISP) mil­lions of rupees were being dis­tributed among the poor as addi­tional cash amount. 

He underlined the need of strict monitoring of the distribu­tion of different items under Ra­mazan package so that the food stuff should be readily available to the deserving. Prime Minis­ter Shehbaz Sharif also regretted that about Rs500 billion pow­er theft was being reported an­nually and questioned the subsi­dy provided to the elite classes, terming it the biggest contra­diction. He further mentioned that the combined circular debt of power and gas sector had spi­raled to 5000 billion rupees now.

The prime minister also re­ferred to high costs of power due to functioning of the ‘junk plants’ running on diesel and incurring billion of losses. 

“The fatal cancer has hollowed the nation,” he said, adding that alone PIA, the national flag car­rier, had ballooning debt and li­abilities of about Rs 840 billion, whereas other state owned en­terprises were also incurring bil­lions of rupees losses annually. 

He said that they were taking loans to pay salaries to the em­ployees of these state entities.

The prime minister also under­scored the need of enhancement of tax net without burdening the honest tax payers, besides stressing that loopholes which led to tax evasion of billion of ru­pees should be plugged.

Expressing his anguish, he said that the contradiction in the tax system could be gauged from the fact that retailers were being taxed sparing the wholesalers. 

He said that he was forced to say ‘now do or die, now or never’.

They had taken the responsibil­ity which did not revolve around mere distribution of ministries, but ‘a journey full of blood sweat and sacrifice and nothing else’. 

The prime minister also ex­pressed the hope that the new cabinet members would meet the challenges as it was a perfect combination of youth and expe­rience, which could serve as en­gine to take the nation forward. 

He also mentioned the climate change as another vital chal­lenge which had caused devasta­tion in the past. 

Earlier, the PM chairing a high-level meeting regarding the petroleum sector, directed to en­sure uninterrupted supply of electricity and gas to consumers during Ramazan.

He said job of the government is to facilitate the private sector and protect interests of consum­ers, especially the economically weaker segments of the society.

The Prime Minister instruct­ed to provide all kinds of facil­ities to the private sector, local and foreign investors in oil and gas exploration, refining and distribution. He advised to take measures to promote interna­tional investments for the explo­ration of tight gas as well as un­dersea oil and gas reserves.

He expressed dismay over not taking steps to utilize the re­sources available in Pakistan’s maritime boundaries, whose area is more than Balochistan.

He said discovery of massive oil and gas reserves within the maritime limits of Pakistan and taking their full advantage is pri­ority of his government.

Shehbaz Sharif stressed the need to enhance the refining ca­pacity of the country. He sought a comprehensive strategy to end the circular debt of the gas and oil sector and to solve this prob­lem on permanent basis. He said culprits involved in gas and elec­tricity theft should be identi­fied and punished. He suggest­ed that gas losses can be reduced through smart metering.

The Prime Minister resolved that he would not allow plun­dering of national exchequer and people’s hard-earned mon­ey. He said strict monitoring of the Liquefied Petroleum Gas sec­tor should be ensured to provide LPG to consumers at affordable rates. He further directed to en­sure uninterrupted supply of gas to industries.