Islamabad: (RightNow). The government has approved key proposals to reduce reliance on imported fuel by upgrading refineries. Under this, machinery imports for refinery upgrades will have zero customs duty.

Sources indicate that amendments to the 2023 Brownfield Refinery Policy have been approved. This policy aims to attract 6 billion dollars in investment. Sales tax will be adjusted upon upgrades.

The Petroleum Division has completed consultations with all relevant bodies. The policy summary has been sent to the federal cabinet. It is recommended not to take action against refineries failing to meet upgrade timelines.

Refineries will receive an incentive package to produce Euro V standard fuel. The proposal also includes allowing foreign currency accounts in local banks.

It is noteworthy that currently, 70% of petrol is imported. Refinery upgrades will reduce fuel import reliance and save foreign exchange.