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

Misplaced priorities
19 Jul, 2024

Misplaced priorities

TROUBLE is brewing in KP, where terrorist outfits are growing ever more emboldened in their attacks. This week, two...
Oman terror attack
19 Jul, 2024

Oman terror attack

THE normally peaceful sultanate of Oman was shaken by sectarian terrorism on Monday when militants belonging to the...
Urban flooding
19 Jul, 2024

Urban flooding

THE provincial authorities have been taking precautionary measures, or so we have been told, to cope with emergency...
A way forward
Updated 17 Jul, 2024

A way forward

Before political leaders inflict more damage, they must give talks a chance.
Export delusions
Updated 18 Jul, 2024

Export delusions

Plummeting exports as a ratio of GDP is one of the major reasons driving the current economic slowdown and the balance-of-payments crisis.
Diversity in UK politics
17 Jul, 2024

Diversity in UK politics

THE recent UK elections have ushered in the most diverse parliament in the nation’s history. Under the leadership...