Petroleum dealers threaten to go on strike

Published November 3, 2021
A view of a closed fuel station in Sargodha. — APP/File
A view of a closed fuel station in Sargodha. — APP/File

KARACHI: Petroleum dealers on Tuesday threatened to close down fuel stations across the country from November 5 if the government did not increase petrol commission to six per cent.

Addressing a press conference at the Karachi Press Club on Tuesday, Abdul Sami Khan and Malik Khuda Bukhsh, senior office-bearers of the Pakistan Petroleum Dealers Association (PPDA), said the government had promised to raise petroleum commission to 5pc from the current 2.5pc per litre of petrol.

However, so far no decision has been taken on the issue by the government in the last two years.

The PPDA representatives said dealers do not want any increase in the prices of petroleum products on the basis of any hike in petroleum commission. PPDA has been demanding an increase in margin with the help of adjustment in petroleum levy and sales tax.

They added operating fuel stations had become difficult now after manifold increase in cost of doing business due to rising power tariff and labour charges.

They said petroleum dealers cannot operate on Rs2 per litre commission on diesel and petrol as the actual commission comes to 50 paisa per litre after paying heavy power bills and other running expenses.

PPDA said the dealers have no choice but to close down the pumps in view of skyrocketing operating cost and very low profit margins.

Published in Dawn, November 3rd, 2021

Follow Dawn Business on Twitter, LinkedIn, Instagram and Facebook for insights on business, finance and tech from Pakistan and across the world.

Opinion

Editorial

Military option
Updated 21 Nov, 2024

Military option

While restoring peace is essential, addressing Balochistan’s socioeconomic deprivation is equally important.
HIV/AIDS disaster
21 Nov, 2024

HIV/AIDS disaster

A TORTUROUS sense of déjà vu is attached to the latest health fiasco at Multan’s Nishtar Hospital. The largest...
Dubious pardon
21 Nov, 2024

Dubious pardon

IT is disturbing how a crime as grave as custodial death has culminated in an out-of-court ‘settlement’. The...
Islamabad protest
Updated 20 Nov, 2024

Islamabad protest

As Nov 24 draws nearer, both the PTI and the Islamabad administration must remain wary and keep within the limits of reason and the law.
PIA uncertainty
20 Nov, 2024

PIA uncertainty

THE failed attempt to privatise the national flag carrier late last month has led to a fierce debate around the...
T20 disappointment
20 Nov, 2024

T20 disappointment

AFTER experiencing the historic high of the One-day International series triumph against Australia, Pakistan came...