Islamabad, March 6: Leaders of the Pakistan Petroleum Dealers Association (PPDA) have warned that petrol pumps across the country may begin to shut down within the next few days after several petroleum firms have cut their supplies, local media reported.
Addressing the media at the Lahore Press Club, the association's Central Secretary General, Chaudhry Irfan Elahi, stated that the situation had become alarming due to the reduction in fuel supply, as reported by Pakistan's leading daily, 'The Express Tribune'. He revealed that diesel supply has dropped to just 20%, and petrol supplies have also been cut.
Elahi stated that the price increases were due to the disruption. Petrol prices have risen by up to Pakistani Rupees (PKR) 35, and diesel by PKR 17.
The Central Punjab President of PPDA, Nauman Majeed, admitted that petrol supply has been reduced by 50% and claimed that some private firms have begun hoarding petroleum products.
The PPDA Lahore President, Jehanzaib Malik, requested the government to ensure appropriate fuel deliveries to petrol pumps. Malik said, "Our demand is that supply should be provided according to our requirements," adding, "Oil marketing companies have stopped supply."
Malik criticized government inspections on petrol stations instead of supply depots. He said that dealers do not want people to face problems due to fuel shortages.
Jehanzaib Malik said, "If the government does not restore supply, petrol pumps will start shutting down from Monday." He further mentioned that companies have halted the supply of petroleum products to push for a rise in prices.
On Thursday, Pakistan's federal government urged all provincial governments to ensure physical inspection and monitoring of retail petrol stations through their respective Deputy Commissioners to prevent hoarding of petroleum products for undue profiteering, as reported by another leading daily, 'Dawn'.
The Pakistani government has appointed Hamed Yaqoob Sheikh, a Grade-22 officer of the Pakistan Administrative Service, as the Petroleum Division Secretary, a position that had been vacant for the past couple of months. In a statement, the Oil and Gas Regulatory Authority (OGRA) stated that the government had assured people that Pakistan currently had adequate stocks of petroleum products to meet national demand, and there was no need for panic buying or hoarding, Dawn reported.
The Pakistani government is considering shifting the petrol pricing mechanism from the current fortnightly basis to a weekly basis. The government is also considering providing financial support to Oil Marketing Companies (OMCs) to ensure adequate product imports and encouraging the government and the private sector to work from home to reduce oil consumption.
