Petroleum dealers threaten strike
Petroleum Division said that it had received an application from Mari Petroleum Company for approval of Declaration of Commerciality and Field Development Plan for Hilal and Iqbal discoveries. PHOTO: file
The Pakistan Petroleum Dealers Association (PPDA) has rejected the proposed amendment to the Petroleum Act of 1934 that gives additional powers to the civil bureaucracy to monitor petroleum dealers and threatened a nationwide strike.
PPDA Chairman Abdul Sami Khan on Saturday addressed a press conference at the Karachi Press Club alongside other officials, including association leader Malik Khuda Bakhsh.
Khan said that the federal government's amendments to petroleum laws are unacceptable and that the association will adopt a strict stance against changes to the Petroleum Act of 1934.
He said the amendments would grant additional powers to assistant commissioners (ACs) and deputy commissioners (DCs) rather than the regulator, the Oil and Gas Regulatory Authority (OGRA).
"A meeting with the petroleum minister is scheduled for Monday, May 26, to discuss the proposed amendment. If our demands are not met during the meeting, we will proceed with a nationwide strike," he said.
He acknowledged the need for legal changes to curb petroleum smuggling but expressed concern that fuel dealers would end up being unfairly targeted. "Despite assurances from the government, petroleum margins have not been increased for several years," he added.
Malik Khuda Bakhsh said that under the proposed amendment to the Petroleum Act, ACs and DCs would have the authority to investigate any issues involving fuel stations. He said a fuel pump caught fire in the Shah Faisal area of Karachi and it was later discovered that the license had been issued by a DC.
"This is an outdated law, and such powers should rest with a regulator like OGRA," he argued.
Another association member, Raja Waseem, said that such extensive powers should not be handed to the bureaucracy. "Decisions made behind closed doors involve only oil marketing companies (OMCs), while we, the dealers, are excluded," he said.