Petroleum Dealers Association Warns Government Over Deregulation of Fuel Prices

The Pakistan Petroleum Dealers Association has warned the government that the deregulation of fuel prices will lead to an increase in petrol prices across the country. During a press conference in Karachi, representatives of the association expressed their concerns and stated that they do not accept deregulation.

They emphasized that the deregulation would negatively impact the 13,000 to 14,000 petrol pumps across the country. They also mentioned that despite writing a letter to Minister Musadik Malik, no response had been received.

The association urged the government to sit down with them and discuss a roadmap for the future, assuring that they would make every effort to bring the government to the negotiating table.

Chairman of the All Pakistan Petroleum Dealers Association, Abdul Samee Khan, rejected the deregulated formula for petroleum prices. He warned that the deregulation would lead to an increase in petroleum smuggling and adulteration. Khan pointed out that if deregulation is implemented, petrol pumps would be free to set their own prices, and the margin for petroleum dealers would rise by 4 percent, increasing it to 13 rupees per liter.

He also mentioned that while Ogra had supported the deregulated formula, the ministry had failed to speak up for the dealers. Khan further added that smuggling of petroleum products from Iran had started to rise again, and to curb this, the federal government should engage in a legal agreement with Iran. He strongly claimed that deregulation would not result in cheaper petrol for the public.