Oil companies fined Rs17.8m for petrol crisis

OGRA orders them to deposit the money in 10 days

ISLAMABAD: The Oil and Gas Regulatory Authority (Ogra) has imposed a fine of millions of rupees on oil marketing companies that were held responsible for acute petrol shortages early this year.

In show-cause notices sent to these companies on March 12, Ogra had asked them to explain why they failed to ensure oil supply that resulted in a petrol crisis in January, especially in Punjab.

The 10-day oil scarcity had almost crippled life in many cities of Punjab. It prompted the government to take action against the people responsible, which suspended several officials including Petroleum Secretary Abid Saeed and Ministry of Petroleum’s Director General Oil Muhammad Azam.

According to officials, the government has reinstated the petroleum secretary and even the director general oil, who have taken charge.

Officials said the regulator had imposed a penalty of Rs17.8 million on different oil marketing companies.

Oscar Oil Company has been fined Rs9.1 million, Admore Oil Marketing Company Rs4.7 million, Hascol Oil Company Rs1.9 million, Byco Rs1.6 million and Oil Overseas Oil Trading Company Rs0.5 million. They will have to deposit the money in the next 10 days.

Published in The Express Tribune, July 1^st, 2015.

Like Business on Facebook, follow @TribuneBiz on Twitter to stay informed and join in the conversation.