By Staff Reporter
ISLAMABAD: Pakistan’s petroleum-product inventories remain at comfortable levels and supply chains are operating without interruption, the Finance Ministry said Monday, even as the escalating conflict between the US, Israel and Iran has blocked the Strait of Hormuz and sent global oil prices to their highest since mid-2022.
Crude futures jumped more than 25 percent on Monday to $119.50 a barrel after Tehran closed the strategic waterway between Iran and Oman — the route for roughly one-fifth of global seaborne oil — and several major producers curtailed exports amid retaliatory strikes across the Gulf. The surge has amplified pressure on import-dependent economies such as Pakistan, which raised domestic petrol and diesel prices by Rs55 a liter only days earlier.
Finance Minister Muhammad Aurangzeb chaired a meeting of the Cabinet Committee to Monitor Petrol Prices to assess the country’s exposure and preparedness. The panel, which included key federal ministers and senior officials, reviewed current stock positions, ongoing import arrangements and the latest volatility in international crude and refined-product markets, according to a statement from the Finance Division. “The Committee noted with satisfaction that petroleum product stocks remain at comfortable levels and supply chains are functioning smoothly, with multiple cargoes and import arrangements in place to ensure continuity of supply in the coming weeks,” the ministry said.
Officials briefed the committee on crude-oil and refined-product inventories, cargoes already at sea, additional shipments being lined up, refinery throughput schedules and maritime logistics coordination with international suppliers and shippers. The group also examined options for energy conservation and demand-side management — including efficiency measures and public-sector adjustments — aimed at easing import pressure during periods of elevated global prices.
Participants discussed operational concerns raised by the aviation and logistics sectors and directed authorities to prepare a detailed assessment for the next meeting. Coordination with provincial governments was reviewed, including enforcement at retail outlets and the development of a real-time national monitoring dashboard for stock levels and pump availability.
Aurangzeb told the committee that ensuring uninterrupted nationwide fuel availability is the government’s overriding priority. Despite the sharp volatility in global energy markets, Pakistan’s supply position remains stable thanks to proactive planning and inter-ministerial coordination, he said. The panel will track international developments, domestic inventories and logistics daily to enable swift policy adjustments if needed.
The committee also examined possible future scenarios for global energy markets, benchmark crude movements and refined-product price trends. Officials said the government is closely monitoring these indicators and conducting continuous scenario planning to protect domestic energy security and broader economic stability. Refinery operations, crude-import logistics and coordination with shipping companies were also on the agenda, with the panel stressing the need to maintain optimal throughput and seamless stakeholder collaboration.
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