KARACHI: The Pakistan Petroleum Dealers Association (PPDA) has given the government a 48-hour deadline to respond to its demand for an increase in dealer commission, warning of a major decision regarding the future of petrol pump operations across the country if no action is taken.
According to PPDA Chief Advisor Malik Khuda Bakhsh, petrol pumps are becoming financially unviable under the current commission structure, adding that dealers are under severe financial pressure. He said a final letter on the issue will be sent to the Petroleum Minister today.
The association warned that if the Petroleum Minister does not respond within two days, it will announce its next course of action, which could impact fuel supply operations nationwide.
Separately, dealers said that diesel sales declined by around 30% in May, while they also claimed that overall diesel consumption has nearly collapsed in the country, with smuggled fuel increasingly dominating the market.
Malik Khuda Bakhsh further stated that five refineries have formally raised concerns with the government over rising fuel smuggling, which they say is affecting storage capacity and market stability.
Refineries have also warned that declining diesel sales are causing storage constraints and operational difficulties.
The PPDA said it had earlier supported the government during regional tensions, but is now facing severe financial losses. It urged the Petroleum Minister to visit Karachi and review the situation on the ground.
The association warned that if no relief is provided within two days, its chairman Abdul Sami Khan will announce the final decision regarding future operations of petrol pumps.
Dealers have maintained that without immediate relief, continuing business operations may no longer be possible.
