The Pakistan Engineering Council (PEC) has recently announced updates regarding the PEC Amnesty Scheme 2024. This blog provides all the crucial details about the extension, eligibility criteria, and what firms need to do to take advantage of the amnesty.
1. Overview of PEC Amnesty Scheme 2024
In a recent notification dated September 5, 2024, the Pakistan Engineering Council (PEC) has extended the validity of licenses and certificates for Constructors, Operators, and Consulting Engineering firms. Both Pakistani and foreign firms registered with the PEC, whose licenses were set to expire on June 30, 2024, are now valid until September 30, 2024.
This extension comes as a relief for companies that need additional time to renew their licenses and remain compliant with PEC regulations.
2. Key Deadlines to Remember
- Initial Expiry Date: June 30, 2024
- Extended Expiry Date: September 30, 2024
- No Further Extensions: After September 30, 2024, no further extension will be granted for license or certificate renewals.
3. Eligibility for the Amnesty Scheme
The PEC Amnesty Scheme allows firms to renew their licenses with certain benefits, especially for those who failed to renew on time. Here are the key points:
- Who Can Apply: Constructors, Operators, and Consulting Engineering firms (both Pakistani and foreign) registered with PEC.
- Amnesty Requirements:
- Payment of 25% of arrears from the past three years.
- Payment of the full fee for the current year.
- Who Is Not Eligible: Firms that have not cleared the required fees within the stated deadlines.
4. How to Apply for the PEC Amnesty
Firms interested in applying for the PEC Amnesty Scheme must follow these steps:
- Check Eligibility: Ensure your firm meets the criteria outlined by PEC.
- Calculate Arrears: Determine 25% of the arrears from the previous three years.
- Pay Full Current Fee: Ensure the full fee for the current year is ready for payment.
- Submit Application: Apply for the renewal on time, ensuring all documentation is complete.
It is crucial for companies to submit their renewal applications before the September 30, 2024 deadline.
5. Example Scenarios: Amnesty Fee Calculation
To make it easier for firms to understand how much they will owe under the PEC Amnesty Scheme, let’s take a look at two example scenarios:
Example 1: C6 Company Not Renewed Since 2015
If a C6 company hasn’t renewed its license since 2015 and the annual renewal fee is 15,000 PKR, here’s what they will need to pay under the amnesty:
- Full renewal fee for 2024: 15,000 PKR
- 25% of arrears for 2021-2023:
- 25% of 15,000 PKR = 3,750 PKR
- 3,750 x 3 years = 11,250 PKR
Total payable amount: 15,000 PKR + 11,250 PKR = 26,250 PKR
Example 2: C6 Company Not Renewed Since 2005
Even if a C6 company hasn’t renewed its license since 2005, under the PEC Amnesty Scheme, they only need to pay for the last three years (2021-2023) in arrears.
- Full renewal fee for 2024: 15,000 PKR
- 25% of arrears for 2021-2023:
- 25% of 15,000 PKR = 3,750 PKR
- 3,750 x 3 years = 11,250 PKR
Total payable amount: 15,000 PKR + 11,250 PKR = 26,250 PKR
In both cases, the total amount payable is 26,250 PKR, as the scheme only considers arrears for the last three years.
Some more examples are explained in the table below:
| Company Category | Renewal Not Done Since | Annual Renewal Fee (PKR) | Full Fee for 2024 (PKR) | 25% of Arrears for 2021-2023 (PKR) | Total Payable (PKR) |
|---|---|---|---|---|---|
| C6 | 2015 | 15,000 | 15,000 | 11,250 | 26,250 |
| C6 | 2005 | 15,000 | 15,000 | 11,250 | 26,250 |
| C5 | 2017 | 30,000 | 30,000 | 22,500 | 52,500 |
| C4 | 2016 | 45,000 | 45,000 | 33,750 | 78,750 |
| C3 | 2010 | 75,000 | 75,000 | 56,250 | 131,250 |
| C2 | 2018 | 125,000 | 125,000 | 93,750 | 218,750 |
| C1 | 2008 | 150,000 | 150,000 | 112,500 | 262,500 |
6. What Happens After September 30, 2024?
After the deadline of September 30, 2024, PEC will not offer any further extensions for license renewals. Companies that fail to renew their licenses by this date will face:
- Ineligibility for future amnesty schemes.
- Potential penalties for non-compliance.
- Suspension or revocation of their PEC license.
It is highly recommended that firms complete their renewal process before the deadline to avoid these consequences.
7. Conclusion: Ensure Your Compliance
The PEC Amnesty Scheme 2024 is a great opportunity for Constructors, Operators, and Consulting Engineering firms to regularize their licenses with minimal financial burden. With the deadline extended until September 30, 2024, now is the time to act. Ensure your firm is compliant with PEC regulations by renewing your license on time and taking full advantage of the amnesty offer.
Don’t wait until the last minute – start your renewal process today to avoid penalties and ensure uninterrupted operations.