KARACHI: The Pakistan Petroleum Dealers Association (PPDA) has declared an indefinite countrywide shutdown of petrol pumps starting March 27, warning that fuel stations may stop operations if their demands regarding dealer profit margins are not addressed.
The announcement followed unsuccessful negotiations between dealers, the government and oil marketing companies over an increase in dealers’ margins.
During a press briefing, PPDA representatives Abdul Sami Khan, Amir Khan Mahsud and Tariq Hassan said that if authorities fail to resolve the issue, petrol pumps across Pakistan could shut down from the night of March 26.
Amir Khan Mahsud stated that dealers were struggling to keep their businesses running due to increasing operational costs and insufficient margins. He warned that continuing under the current conditions was not financially sustainable for pump owners.
The association also accused the government of prioritizing the interests of Oil Marketing Companies while overlooking the challenges faced by local fuel retailers. According to Abdul Sami Khan, continuous increases in petroleum prices and levies have placed significant pressure on both dealers and consumers.
Meanwhile, the PPDA claimed that some Oil Marketing Companies have begun limiting fuel deliveries a practice commonly referred to as “capping.” This restriction has reportedly created supply shortages, forcing several fuel stations to close temporarily due to a lack of petrol and diesel.
The dealers also expressed concern that the government might soon introduce another significant increase in fuel prices, potentially raising petrol costs by as much as Rs50 per litre. They warned that such a move could intensify the crisis and make the planned nationwide shutdown unavoidable.
