LAHORE: A day after the petroleum hoarding mafia made millions, the Punjab government woke up to control this menace.

Chief Minister Maryam Nawaz on Saturday ordered a grand crackdown on hoarders and profiteers involved in stockpiling petroleum products.

Several petrol pump owners in Punjab had closed down their outlets for hours ahead of the PML-N government’s announcement of a massive increase of Rs55 per litre in petrol and diesel prices on Friday. The Punjab government seemed to be sleeping in deep slumber by the time these filling stations made millions selling the hoarded stock once the new price was applicable after midnight.

Panic buying of petrol and other petroleum products has already started in Punjab.

“On the directives of the chief minister, the Punjab Enforcement and Regulatory Authority (Pera) has been mobilised across the province. Authorities have been instructed to take strict action against the elements, creating artificial shortages in order to earn illegal profits,” a handout said.

Pera mobilised to check artificial shortage

According to the directives, filling stations found involved in hoarding or profiteering will be sealed immediately and their licences will be cancelled.

The CM directed Pera to adopt a zero-tolerance policy against hoarders and instructed field officers to ensure strict monitoring of petrol pumps throughout the province.

Meanwhile, the surprise increase of Rs55 in the petrol and diesel prices has attracted severe criticism from the public at large across Lahore metropolis and other major and small cities and towns in Punjab.

On the other hand, the massive increase in petroleum products because of the US, Israel-Iran war and subsequent closure of the Strait of Hormuz has given a huge financial benefit worth billions of rupees to the owners of all petrol pumps and oil marketing companies (OMCs) across the country.

“The 20pc increase in oil prices means a 20-25pc rise in the prices of commodities, essential items, fares, material, transportation etc. It means everything will now be procured with 20 to 25pc additional and sudden burden,” commented a motorist while waiting for his turn at a fuel station in Johar Town.

“I think the oil prices will increase further if the war prolongs,” he warned, criticising the government for burdening the people through such abrupt actions.

Talking to Dawn, a motorcyclist at a pump in Gulberg also criticised the government for the ‘Eid gift’ to the people of Pakistan in the form of increasing oil prices.

“Since a common person is already being hit by sky-rocketing prices, such a big surge in oil prices is a huge surprise to the public at large. We were expecting some relief in the ongoing holy month of Ramazan. But the government, instead of doing so, crushed all of us,” the annoyed man deplored.

He urged Prime Minister Shehbaz Sharif to review the decision and order to reverse oil prices as they were on March 6.

While the common people complained and criticised the government, the decision has benefitted owners of fuel stations and OMCs with billions of rupees in profit all of sudden.

“We already had around 20,000 liter petrol and 5,000 of diesel in our tanks. And in late hours (before 12am) on Friday, we also received 25,000 litres of petrol from the designated depot. But we stopped sales till the increase in the oil prices,” revealed a staffer at a petrol pump in the city. “After 12am, we earned around Rs3.5 million profit due to the increase in the oil prices,” he added.

According to an official source in the government, owners of as many as 500 petrol pumps in Lahore allegedly earned more than Rs1 billion profit all of a sudden. “The government’s decision is not less than a jackpot for the rich involved in the petroleum business across the country,” he maintained.

Meanwhile, panic buying of oil, especially petrol, continues in Lahore by a number of motorists waiting for their turn in long queues at petrol pumps. “Let see when I succeed in getting petrol,” said a motorist at a fuel station.

FCCI: Faisalabad Chamber of Commerce and Industry (FCCI) President Farooq Yousuf Sheikh has expressed concerns at the massive increase in the prices of petrol and diesel and stressed the need for a strategy to reduce its effects in consultation with the business community.

In a statement, he said that availability of petrol at a fixed price in the country would be a test for the federal and provincial governments and added that effects of the increase in fuel price hike would affect everything, which might lead to another wave of inflation.

“Apart from the prices of rents and essential commodities, the prices of raw materials for industries are also expected to increase significantly, however, the government will have to crack down on profiteers by clearly defining the limits of legitimate and illegitimate profits in consultation with the chamber.”

Mr Sheikh said targeted subsidies could be given to low-income families under the Benazir Income Support Scheme, while relief based on income could also be reviewed. He expressed fears that if the current situation continued, the survival of the private sector would become impossible. After the increase in the price of petrol, the electricity prices would increase again, which would nullify all the measures taken so far to revive the industrial sector.

Published in Dawn, March 8th, 2026