Petroleum dealers warn of indefinite nationwide shutdown

KARACHI: The Pakistan Petroleum Dealers Association (PPDA) has given the government 72 hours to address its demands, warning that petrol stations across the country will be shut indefinitely from 6:00am on Saturday, August 15, if the issues remain unresolved.

PPDA Chairman Malik Khuda Bakhsh, speaking at a press conference alongside Vice Chairmen Tariq Hassan and Anwar Kamal, Sindh Region President Haji Ameer Khan, Karachi President Saeed Khan and other office-bearers, said the association had decided to issue the ultimatum after the government failed to fulfil commitments made by the Petroleum Ministry to resolve dealers’ concerns.

Khuda Bakhsh said dealers from across the country had agreed to demand a minimum 8 percent margin on petrol, arguing that the existing margin was inadequate to cover rising operating expenses, including electricity and gas bills, employee salaries and other costs.

He said more than 14,000 dealers affiliated with the association were pressing for action and warned that petrol pumps would remain closed until the dealers’ demands were addressed if the government failed to respond within the stipulated 72-hour period.

The association has also raised objections to the recently introduced 24-hour petroleum price change mechanism, with its Executive Committee describing the system as impractical for dealers and a source of administrative difficulties and financial uncertainty.

According to the PPDA, frequent changes in retail fuel prices complicate routine business operations and create financial risks for dealers holding fuel inventories.

The dealers have also criticised the Company Allocation Policy, terming it discriminatory and contrary to their business interests. The association has called for an immediate review of the policy and demanded that it be made transparent and equitable.

Khuda Bakhsh said the association was not seeking confrontation with the government and remained willing to engage with the Petroleum Ministry, the Oil and Gas Regulatory Authority (OGRA), oil marketing companies and other relevant institutions to resolve the outstanding issues.

However, he maintained that the government must take immediate and practical measures to address the dealers’ grievances.

“If our legitimate demands are not addressed within 72 hours, we will have no option but to shut down fuel stations across the country,” he said.

The proposed shutdown, if implemented, could affect the retail supply of petroleum products across the country.

The PPDA, however, said its objective was to secure a resolution to the dealers’ concerns while ensuring that the issues affecting their businesses were addressed.

Copyright Business Recorder, 2026