Petroleum Dealers Oppose giving more powers to civil bureaucracy under the Petroleum Act of 1934
KARACHI:
The Pakistan Petroleum Dealers Association (PPDA) has voiced strong opposition to proposed changes in the Petroleum Act of 1934 that would expand the powers of civil officials to oversee petroleum dealers. In response, they have threatened to launch a nationwide strike.
PPDA Chairman Abdul Sami Khan, joined by other association leaders including Malik Khuda Bakhsh, held a press conference at the Karachi Press Club on Saturday to announce their stance.
Khan said the federal government’s suggested changes to the petroleum laws are unacceptable to the association, which plans to adopt a tough position against amending the Petroleum Act of 1934.
He explained that the amendments would hand additional powers to assistant commissioners (ACs) and deputy commissioners (DCs), sidelining the primary regulator, the Oil and Gas Regulatory Authority (OGRA).
“We have a meeting scheduled with the petroleum minister on Monday, May 26, to discuss these proposed amendments. If our concerns are not addressed, we will go ahead with the strike across the country,” he warned.
While acknowledging the need to crack down on petroleum smuggling, Khan expressed fears that these new powers could lead to undue harassment of fuel dealers. “Despite repeated promises, our petroleum margins have not been revised for years,” he added.
Malik Khuda Bakhsh also criticised the amendments, pointing out that they would allow ACs and DCs to investigate issues at fuel stations. Citing a fire incident at a petrol station in Karachi’s Shah Faisal area, he noted that the station’s license had been issued by a DC, illustrating the dangers of an outdated law. “These powers should be given to a dedicated regulator like OGRA,” he argued.
Another association member, Raja Waseem, expressed concern that such sweeping powers for the bureaucracy were inappropriate. “Key decisions are being made behind closed doors with only the oil marketing companies (OMCs), and we dealers are completely excluded,” he said.
