LAHORE: The Punjab government is considering a proposal to get declared petrol an essential commodity so that its price control, distribution and supply can be regulated through city district and district governments.

Dawn learned a City District Government of Lahore (CDGL) official floated the proposal to the Punjab government after a petrol crisis in Punjab in January.

A CDGL source said that during discussion with industries and law departments, the official recommended that petrol be included on the list of essential commodities in the Price Control and Prevention of Profiteering and Hoarding Act, 1977.

Once an item appears on essential commodity list, under the law, the federal government makes “ ... it necessary or expedite for securing equitable distribution of an essential commodity and its availability at fair prices, may, by notified order, provide for regulating the prices, production, movement, transport, supply, distribution, disposal and sale of the essential commodity and for the price to be charged or paid for it at any stage of transaction therein.”

As petrol is regulated under federal laws, the Punjab government would have to discuss the issue with the federal government for amending the laws.

A list of essential commodities under the law includes from tea, gurr and milk to kerosene oil, fertilizers and pesticides.

The CDGL official says the list is reviewed and notified time to time, mostly after every two months.

He said the inclusion of petrol on essential commodities’ list would empower district governments to ensure the availability of petrol at fuel stations round the clock and its sale at official prices.

Earlier, a lawyer said, petrol pump owners violating the law were nabbed and tried for overcharging or hoarding kerosene oil.

The crucial role of district administrations to counter commodities’ shortage came to the limelight in the recent petrol shortage. Though having no power to act, CDGL officials had managed petrol supply from Machiwal depots to ward off the crisis.

The official said the CDGL set up also knew the exact demand of petrol in the city, so empowering them under law to regulate oil supplies and check their prices would benefit the public.

Published in Dawn, March 28th, 2015

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