Petrol pump owners threaten nationwide shutdown over commission dispute

Accuses the government of not inviting meetings and says the commission should increase when fuel prices rise

People wait their turn to get fuel at a gas station in Peshawar. Photo: Reuters/ File

ISLAMABAD:

Pakistan Petroleum Dealers Association (PPDA) and All Pakistan Petrol Pump Owners Association (APPPOA) on Tuesday warned of a nationwide shutdown of petrol pumps if their demand for an increased commission is not met.

Addressing a press conference at the Islamabad Press Club, PPDA Chairman Abdul Sami Khan said the association had considered a strike but refrained in the public interest. He added that they were neither invited to meetings nor heard.

He demanded that their commission be increased to 8 percent and accused the government of trying to extract all taxes from the oil industry.

Khan said a strike call would be announced after their next meeting. He added that all petrol pumps and dealers were united and warned that under such conditions they could sell their pumps and shut down operations.

He further said that the Balochistan government had stated that petrol would be available at Rs280 per liter in the province, claiming that Iranian petrol was entering the market and its price was fixed locally.

APPPOA chairman Humayun Khan said their primary demand was the introduction of a proportional commission. He said their commission should increase when fuel prices rise, adding that their business was becoming unsustainable under the current system.

Humayun said they could not continue selling petrol at existing commission rates and urged the government to meet their demands before petrol pumps start shutting down.

He also claimed that several unrelated institutions in Punjab were inspecting petrol pumps, adding that the government was venting its frustration on traders under pressure from US President Donald Trump.

He said petrol pump owners currently received a commission of Rs8 per litre, adding that several taxes were deducted from this amount.

Humayun said their business was also severely affected by the influx of smuggled fuel. He questioned why the authorities responsible for curbing smuggling had not been able to stop it and asked who was responsible for controlling smuggling at the borders.

He further alleged that oil marketing companies were hoarding petrol. He added that if the dealers did not benefit at all, it would be impossible to continue the business.

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