Petrol dealers announce nationwide pump shutdown from March 27

The Pakistan Petroleum Dealers Association (PPDA) has announced an indefinite nationwide shutdown of petrol pumps from March 27 after negotiations with the government over dealer profit margins failed.

The association said fuel stations could begin closing from the night of March 26 if authorities do not immediately revise dealer margins.

Speaking at a press conference on Friday, PPDA leaders Abdul Sami Khan, Amir Khan Mahsud and Tariq Hassan said petrol pump operators were no longer able to sustain their businesses under the current margin structure.

“We cannot continue to operate a business that only yields losses. If our margins are not adjusted, the pumps will go dark,” said Amir Khan Mahsud, president of the Petroleum Dealers Association Sindh.

The dealers accused the government of ignoring retailers while allowing Oil Marketing Companies (OMCs) to benefit from recent petroleum price adjustments. According to the association, the price revisions have generated billions of rupees in additional profits for OMCs while petrol pump operators face rising operating costs.

Abdul Sami Khan said the association had held several rounds of talks with authorities but no progress had been made, warning that dealers were now preparing for stronger action.

He added that the continuous increase in petroleum levies and fuel prices had pushed both consumers and retailers to the brink.

The association also claimed that some OMCs have started “capping” fuel deliveries, limiting the supply of petrol and diesel to dealers. According to PPDA, the restrictions have already caused shortages at several stations, forcing some pumps to close early after running out of fuel.

Mahsud also warned that the government may announce another major increase in petroleum prices of up to Rs50 per litre, saying such a move would further worsen the supply situation and strengthen the dealers’ decision to proceed with the shutdown.