Oil marketing company moves IHC against fuel crisis committee

Requests court to void ministry’s notifications for crackdown against petrol companies

ISLAMABAD: An oil marketing company (OMC) has moved the Islamabad High Court (IHC) against the newly formed fuel crisis committee and the ongoing crackdown against the OMCs allegedly responsible for a recent fuel crisis.

An IHC single-judge bench headed by Chief Justice Athar Minallah will take up the plea today (Thursday) which has requested the court to set aside the Ministry of Petroleum’s June 8 and 9 notifications, announcing governmental actions against the OMCs.

The petitioner has also requested the court to stop the government from taking any action against the company until the court decides the petition.

According to the OMC, the committee on June 12 summoned the chief executive officer (CEO) of the company and levelled the “baseless” allegation of hoarding and black-marketing against the company.

The OMC has nominated the Oil and Gas Regulatory Authority (Ogra), the Pakistan State Oil (PSO), the Ministry of Petroleum, the Federal Investigation Agency (FIA) and the committee as respondents.

Petrol prices have continued to drop in the international market in the wake of coronavirus pandemic and the federal government also reduced fuel prices to transfer the benefit to people. However, there emerged a shortage of fuel in various parts of the country in June.



Last week, the federal cabinet took serious notice of this “artificial” shortage as Prime Minister Imran Khan directed the petroleum division and Ogra – the fuel regulator – to ensure supply of petrol across the country within 48 to 72 hours.

He had ordered authorities to take strict action against those responsible for creating the “artificial” shortage. On June 9, the government initiated an inquiry against the OMCs allegedly involved in whipping up the crisis and constituted a committee.

The committee, headed by the FIA Director General Oil Shafiur Rehman Afridi, comprised general manager operations of the state-owned PSO, Ogra and the FIA.

The committee was to investigate alleged hoarding and black marketing of petroleum products by the OMCs. It was also to verify availability of stocks at depots of the OMCs and their supply to retail outlets.

The committee on June 11 sought registration of cases against heads of two major OMCs for allegedly hoarding and black marketing of petrol after inspecting their terminals at Karachi’s Keamari Port.

The committee also submitted an application to the assistant commissioner of the Sub-Division Harbour of Karachi’s West district, seeking registration of FIRs against them. The committee had received complaints against the two companies.