The Pakistan Petroleum Dealers Association (PPDA) has warned that the supply of fuel in all parts of the country may get affected as the operating licences (Form K) for petrol pumps are about to expire on February 12.
The association cautioned that thousands of fuel stations could be forced out if the problem is not resolved.
There is reason for concern after the government made the installation of an auto-gauging digital system mandatory for the renewal of Form K. Fuel stations that do not comply with this rule may lose their operating licence.
Speaking at a press conference, PPDA Chairperson Abdul Sami Khan opined that the government had not provided an operable structure to handle the digitalization process. He said that associating the licence renewal with auto-gauging systems is estimated to cost Rs40 billion at an all-India level and this is unrealistic with the current financial conditions.
He added that oil marketing companies would also need to spend a lot to install the system at outlets, which dealers do not consider feasible. He cautioned against any action against petrol pumps to be met with dealer protests around the country.
The PPDA chairman also brought up issues of delays in implementation of the dealer margin, which was approved by the Economic Coordination Committee (ECC), and this was further adding to the financial stress. The association opposed the need to introduce electric vehicle charging stations with petrol pumps in the country, as the use of EVs in Pakistan is still minimal, especially in rural areas.
The PPDA called on the government to review its policies and compliance demands, in order to avoid a possible country-wide fuel crisis.
Earlier it was reported that as the inflation rate rises in Pakistan, people across the country are keeping an eye on the petrol prices and wondering if the rates have dropped or increased.
Petrol prices are updated twice a month, once on the 15th and the second update comes at the end of each month.
Sources revealed that the prices of petroleum products are likely to increase in Pakistan from February 1st.
Also read: Will petrol prices rise or fall in Pakistan from February 1?
