The powerful association of petroleum dealers is convening for a nationwide convention in Lahore starting Friday.
By Naveed Naqvi
ISLAMABAD: Pressing for better margins on retail sale of fossil fuels, the Pakistan Petroleum Dealers Association (PPDA) has threatened to close petrol pumps across the country in protest from July 18.
Abdul Sami Khan, Chairman of the association, told Independent Pakistan that petrol pumps, caught between low margins and soaring electricity bills because of rising tariffs, were finding it difficult to keep afloat. He said if it comes to a shutdown, petrol pumps will not open until margins on petroleum products are increased.
Retails outlets of fossil fuels, petrol pumps are currently entitled to a 3.5 percent margin on their sales. PPDA argues this is inadequate, and are pressing for the margin to be increased to 6 percent.
Khan said if the margin was not increased to six per cent by July 18, PPDA would close petrol pumps in protest. “We have repeatedly asked the government to increase our margin,” he said.
Abdul Sami Khan said that the association had unanimously decided that if the commission was not increased by July 18, then they would be forced to close petrol pumps.
In an exclusive interview with IP, the President of Pakistan Petroleum Dealers Association said the Association had ended the strike that after the assurance of the previous government.
The government of former prime minister Imran Khan had assured the PPDA the margin would be increased to 4.5 percent by June. However, the commitment was not implemented. “Rising inflation and electricity prices have reduced our profits to zero”, Khan said. “We do not want to sell adulterated petrol or inconvenience consumers.”
Abdul Sami Khan said that we met the Minister of Finance who spoke to the Minister of Petroleum who has given us the date for resolving the issue, on which our representatives from all over the country met him.
He said the officials had promised a resolution of the issue in one week, but twenty days had passed without any action in this connection.
To a question, he said that petrol prices had come down in the global market, and it was a golden opportunity for the government to resolve the issue. “The issue can be resolved if the government takes advantage of this rare opportunity and adjusts pump margins”.
Khan said that petroleum dealers are holding a nationwide convention from July 15 in Lahore. “On this occasion, the election of officials will be held on July 17”, he said. “If the government failed to meet our demands, we will be forced to call a nationwide strike on July 18.”
Abdul Sami Khan is a recipient of the prestigious Sitara-e-Imtiaz and a former Minister for Petroleum. He is a graduate of Aligarh Muslim University.
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