PPDA raises concerns over Petroleum Act amendment

Chairman PPDA criticizes the amendment granting unchecked authority to assistant and deputy commissioners to inspect and seal petrol pumps

KARACHI: Abdul Sami Khan, chairman of the Pakistan Petroleum Dealers Association (PPDA), expressed serious concerns over recent amendments to the Petroleum Act 1934, the rising smuggling of petroleum products, and the proliferation of illegal petrol pumps.

Speaking at a press conference at the Karachi Press Club on Saturday, Khan criticized the amendment granting unchecked authority to assistant and deputy commissioners to inspect and seal petrol pumps, warning that it could lead to corruption and threaten the operational freedom, sustainability, and security of the petroleum sector.

He described the amendment as a fundamental and alarming shift presented in the National Assembly without stakeholder consultation. Khan highlighted smuggling as an ongoing unresolved threat, particularly the illegal petrol stations operating near border areas, urging immediate action from authorities.

Prior to the press briefing, the PPDA met with Oil and Gas Regulatory Authority (Ogra) Chairman Masroor Khan to discuss grievances related to the amendment, dealers’ commission revisions, deregulation of petroleum pricing, and the influx of smuggled Iranian petroleum products.

Khan announced a PPDA delegation would meet the federal petroleum minister on Monday to address these issues. He warned, “In case our demands are not met, we have no other choice but to close down pumps till our demands are met.”

The association has repeatedly raised concerns over the inflow of smuggled petrol and diesel from Iran, which now accounts for approximately 30 percent of the market share.

Monitoring Desk
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