ISLAMABAD: The Ministry of Energy (Petroleum Division) has moved a summary to the prime minister for the appointment of Muhammad Arif Hameed, former MD, as a new member to the Board of Directors of Sui Northern Gas Pipelines Limited (SNGPL), sources said.
Arif Hameed served as a regular employee of the SNGPL until September 24, 2011, holding the position of senior general manager. He was appointed managing director SNGPL and continued in that role beyond his initial term through multiple extensions until September 2015.
On September 2, 2015, the Ministry of Petroleum and Natural Resources moved a summary to the prime minister for Hameed’s removal. The prime minister approved the summary and on September 5, 2015, Hameed was officially removed from his position.
During his time as MD, the company witnessed unprecedented increase in Unaccounted for Gas (UFG) gas lost in the pipeline system which far exceeded the limits prescribed by the Oil and Gas Regulatory Authority (OGRA). This trend of rising UFG directly translated into financial losses for the company and reflected poorly on his administrative control.
Despite repeated warnings and oversight by the OGRA, no effective strategy was implemented to curb this growing problem, which continues to burden SNGPL’s financial health.
Another major point of concern was Hameed’s alleged resistance to the government’s fast track LNG-based energy projects. At a time when the country was facing an energy crisis, Hameed was accused of deliberately stalling progress, despite clear directions from the then petroleum minister and the ministry.
Hameed challenged this decision before the Lahore High Court (LHC) through writ petition No 26232/2015, he later withdrew the case after tendering his resignation.
After retirement, Hameed ventured into the petroleum business, opening a filling station in Gulberg, Lahore under the name U&S Gulberg Filling Station.
In January and February 2021, the filling station was found guilty of short-measuring customers, a violation confirmed by OGRA in its January 29, 2025 order.
Hameed was also allegedly involved in appointment and promotion of a SNGPL secretary.
An inquiry conducted on DP No 76 MFDAC 2017-18 concluded that the secretary received multiple out-of-turn promotions and salary increments totalling Rs 6.292 million in violation of company policy. The report found no tangible justification for bypassing well-defined appointment procedures and held Arif Hameed, then Senior GM HR Liaquat Raza and HRC Chairman Mirza Mahmood Ahmad responsible for misusing their authority to benefit the secretary.
The Ministry of Energy has now included Hameed’s name in a summary sent to the prime minister for the appointment of new directors to the SNGPL Board. Also nominated are Muhammad Ahmad Qayyum, reportedly a close relative of the current petroleum minister.
The correspondent sent questions to the spokesperson of the Ministry of Energy (Petroleum Division), but no response was received by the time the story was filed.
Copyright Business Recorder, 2025
