RAWALPINDI: Rejecting federal government’s plan to deregulate petroleum products, Pakistan Petroleum Dealers Association warned that such a move would lead to a massive hike in petrol prices from Karachi to northern regions.
They proposed that instead of deregulation, the government should remove the petroleum levy, which could lower fuel prices by Rs60 per litre.
The Coordinator to Petroleum Dealers Association Chairman, Raja Waseem, stated that they were open to negotiations with the government, but yet to receive any response to their concerns. “The entire issue revolves around the Inland Freight Equalisation Margin, and oil marketing companies are increasing their profits by directly operating fuel stations,” he said.
Waseem emphasised that past attempts at deregulation had faced resistance, particularly from Khyber Pakhtunkhwa, and warned that it could lead to cartelisation, as seen in the cement and sugar industries.
He further pointed out that smuggled Iranian fuel is disrupting the market, with adulterated and mixed fuel being sold at higher profits, making it difficult for legal businesses to survive.
Petroleum Minister Musadiq Malik had announced to deregulate all petroleum products as per demand of OMCs.
Copyright Business Recorder, 2025
Comments
Comments are closed for this article.