By Farhad Naibkhel-KABUL: The General Union of Oil and Gas Companies of Afghanistan (GUOGCA) on Thursday criticized monitoring and control of fuel and gas price by fuel and gas department (governmental enterprise), saying that a national organ was required to control fuel and gas price in the market.
“Fuel and gas department is like a government enterprise, it is not a general attorney office to monitor and control fuel prices in the market,” said GUOGCA chief executive, Azerakhsh Hafezi.
“We are not against monitoring of market, but it should be taken place by a national organ not through an enterprise.”
Hafezi said that efforts were made to change the fuel and gas department to a governmental enterprise to interfere in the market and operate instead of private sector, which is against law.
According to reports, fuel and gas department after changing to an enterprise plans to utilize all assets and stacks of private sectors, which these efforts will lead to escaping of investment from Afghanistan, he added.
He added the private sector has invested $3.7 billion on the fuel and gas dealing in the country, and the governmental enterprise could not invest such amount.
He said that fuel and gas traders are not against changing of fuel and gas department to an enterprise and its interference in the market, but they are against monopoly of their assets.
“Fuel and gas department must invest from its own resource to structure as a rival and interfere in the market, otherwise will face reaction,” he claimed.
Conversion Fuel and gas department as a governmental enterprise to interfere in the market and control fuel and gas prices recently propounded in parliament, after mounting of fuel and gas price in the market.
Meanwhile, Head of Fuel and Gas Department Wali Tamim, said that changing of this department to a governmental enterprise propounded seven months ago and the draft have been sent to different organs including Wolesi Jirga (lower house) of Parliament, Ministries of Justice, Finance and Commerce to be discussed.
He said that currently the draft of enterprise is in national economic commission.
This draft enterprise is not for monopoly, but against monopoly in the market, he added.
He stated that fuel and gas department has enough stacks and human resources with branches in 34 provinces and never need to private sectors facilities.
After changing of this department to enterprise monopoly, breeching of law and fixing prices will be avoided in the market in fuel and gas sector, he insisted.
Only few cluster afraid of changing of fuel and gas department to a governmental enterprise, because this enterprise will operate in the market as a rival and will put a ban before illegal activities of some figures, he claimed.
He said that this department after changing to an enterprise will operate for the public and national interests in the market.
Also efforts hold to draft the law of fuel and gas in order to be approved in future, he noted.
On the other hand the GUOGCA said that this union in collaboration with new partners plan to establish a refinery with the primary investment of $1.3 billion, if have the government support.
By establishing of refinery 2.5 million tons of fuel will be produced in the country.