Ogra’s refusal to deregulate oil prices

Karachi: The Oil and Gas Regulatory Authority (OGRA) has denied deregulating oil prices.

OGRA has sent a letter to the oil refineries saying that considering the impact of deregulation on the oil industry and the public, any decision in this regard will be taken after full consideration and wide consultation.

On the instructions of the Prime Minister’s Office, some points of deregulation of oil prices were outlined, but the final decision on the policy of deregulation of oil prices rests with the federal government.

The deregulation policy will be decided by incorporating the views of all stakeholders so oil refineries are sensible stakeholders and take a serious approach.

Earlier, the Pakistan Petroleum Sellers Association had threatened to shut down petrol pumps nationwide in case of deregulation of petroleum products.

Abdul Sami Khan, chairman of the Petroleum Dealers Association, while addressing a press conference at the Karachi Press Club, said that deregulation will lead to the sale of oil at a higher price of 20 rupees in remote areas of Pakistan and oil smuggling is already a big problem that needs to be addressed. If an agreement is made with Iran, the people will benefit.

He said that 75% control over the oil industry is only by three big oil marketing companies, in the case of deregulation, protest banners are being displayed in the first phase because deregulation will destroy the industry.

On this occasion, Malik Khuda Baksh said that we will protest against deregulation including going to court, people will be deprived of quality petrol. He said that Ogra has given license to 52 companies across the country in which only 3 companies are importing standard petrol.

Abal Sami Khan said that the government is very cleverly increasing the prices without putting a burden on itself, Ogra has sent its recommendations to the ECC, if the government takes such decisions on its own, we will be forced to close the petrol pumps. Petrol is coming through smuggling and nothing is being done to stop it. If the government buys petrol from Iran, petrol will become cheaper and smuggling will also end.

Abdul Sami Khan said that the government wants to put the burden of increase in the prices of petroleum products on the people. It would be wrong to give oil marketing companies the power to fix the prices of petroleum products.

In response to a question, Sami Khan said that there has been an increase in the smuggling of petroleum products from Iran, an agreement should be made to purchase crude oil from Iran so that the issue of smuggling ends while the crude oil purchased from Iran is refined locally. can be done We do not want oil marketing companies to have the power to fix the prices of petroleum products. The performance of Ogra is very disappointing.