ISLAMABAD: The Economic Coordination Committee (ECC) is likely to decide on a proposal to raise profit margins for Oil Marketing Companies and petroleum dealers, a move that could further strain already burdened consumers across Pakistan.
According to sources, the Federal Cabinet’s Economic Coordination Committee (ECC) is scheduled to meet on Tuesday, December 9, to review a heavy 11-point agenda, with key decisions anticipated across power, petroleum, trade, and state-owned entities. At the forefront of the agenda is a proposal to increase profit margins for Oil Marketing Companies (OMCs) and petroleum dealers, which, if approved, could place an additional financial burden on consumers.
According to sources, the proposal recommends raising margins for OMCs and fuel dealers from the current Rs 1.10 per litre to Rs 1.28 per litre on both petrol and diesel. Currently, marketing companies earn a margin of Rs 7.87 per litre, while dealers receive a commission of Rs 8.64 per litre. The proposed revision would increase the average margin on petrol and diesel by approximately Rs 1.20 per litre, potentially adding a combined financial burden of about Rs 2.40 per litre for consumers.
“The summary proposing the hike in margins has been formally submitted to the ECC for review,” said an industry source. “If approved, it will not only support operational costs and the ongoing digitization of fuel pumps but could also directly impact retail fuel prices nationwide.”
The ECC’s decision is significant, as it will be forwarded to the federal cabinet for ratification following the meeting. Currently, consumers are already paying a total margin of Rs 16.51 per litre on petrol and diesel, comprising OMC profits and dealer commissions. The margin increase, if approved, would further amplify the cost burden on households and businesses.
Alongside petroleum pricing, the ECC is also expected to deliberate on critical energy sector issues, including a summary regarding the electricity purchase agreement with Iran, outlining cross-border power supply arrangements. Approval is likely for the Circular Debt Management Plan for fiscal year 2025–26, a key element of ongoing power sector reforms.
The committee will also consider a technical supplementary grant of Rs 1.28 billion for the Pakistan Digital Authority and review a summary from the Commerce Division regarding the implementation of a Lahore High Court decision. Other agenda items include a proposal to ban chloroform imports, amendments to the vehicle import procedure under the Gift Scheme, and the release or surrender of Cabinet Division development funds.
Additionally, a technical supplementary grant of Rs 5 billion to support housing sector subsidies is expected to be approved. The ECC will also discuss the dissolution of the Pakistan Agricultural Storage and Services Corporation (PASCO) and the establishment of a special vehicle for the Wheat Stock Management Company. A budget release request for the PIA Holding Company will also be reviewed.
With high-stake decisions on fuel pricing, power, and development funding, the Tuesday ECC meeting is being closely monitored by consumers, businesses, and industry analysts alike. The outcomes could directly influence retail fuel prices, electricity costs, and public spending priorities, affecting millions of citizens across Pakistan.
