KARACHI: The Pakistan Petroleum Dealers Association (PPDA) has strongly opposed the government’s deregulation policy and issued a warning of a nationwide petrol pump shutdown if their demands are not met.
In a video statement, PPDA Chairman Abdul Sami Khan rejected the deregulation formula for petroleum product prices, warning that it would pave the way for large-scale smuggling and fuel adulteration.
Khan explained that deregulation would allow individual petrol stations to set their own prices, potentially leading to market instability. In response, the PPDA has convened an emergency meeting of its central committee and announced that protest banners will be displayed at petrol pumps across the country starting today.
Meanwhile, the association is preparing to formally oppose the policy by submitting a letter to the Petroleum Ministry.
One of the core demands of the PPDA is an increase in petroleum dealers’ profit margins. Khan urged the government to raise the per-liter margin by 4%, bringing it up to Rs 13. He claimed that while the Oil and Gas Regulatory Authority (OGRA) has expressed support for petroleum dealers, it has failed to take a firm stance before the Petroleum Ministry.
Khan also highlighted the resurgence of petroleum smuggling from Iran, calling on the federal government to sign a legal agreement with Iran to regulate fuel imports and curb illicit trade.
He criticized Minister of State for Petroleum Musadik Malik for failing to engage with petroleum dealers, arguing that deregulation would not result in lower fuel prices for consumers as claimed by the government.
With tensions escalating, the possibility of a nationwide fuel shortage looms, putting further pressure on authorities to address the concerns of petroleum dealers before the situation worsens.