ISLAMABAD: The Pakistan government has opted to delegate the responsibility of setting petroleum prices from the state to oil marketing companies.
According to a private TV channel report, Prime Minister Shehbaz Sharif has instructed the cessation of the government’s role in determining petroleum prices. In response, Petroleum Minister Musadik Malik has called a crucial meeting scheduled for tomorrow.
The government is preparing to delegate pricing authority to oil marketing companies in phases.
The Chairman of the Oil and Gas Regulatory Authority (OGRA) has been given the job of looking at how ending control over petroleum prices will affect things and creating a plan. The final plan for ending control will be sent to the prime minister for approval.
Reports say that petroleum dealers are against giving pricing power to oil marketing companies, claiming it could lead to price gouging.
Earlier, the Oil Marketing Association of Pakistan (OMAP) had asked PM Shehbaz to step in quickly and help recover the petroleum industry’s foreign exchange losses.
In that regard, OMAP Chairman Tariq Wazir Ali wrote a letter to the prime minister, drawing his attention to the unrecoverable exchange losses of the petroleum industry, which had been pending for a considerable period.
He stressed that prompt action would help safeguard the petroleum industry from further crisis and ensure its continued contribution to the national economy.
He praised the government’s policies for putting the country back on the right track, adding that the “commitment to economic stability and growth is a beacon of hope for many industries, including the petroleum industry.”
Previously, oil refineries also called on the government to fully recover the actual currency exchange losses.
