ISLAMABAD: Federal government has urged the Oil and Gas Regulatory Authority (Ogra) to take negligence of Oil Marketing Companies (OMCs) on denying materials and products from refineries and production companies into account, as oil is crucial to wheat harvesting season.
According to reports, the government has asked the Ogra to enforce OMCs to keep mandatory stocks in their godowns as the season of wheat harvesting is around the corner.
The government maintained that due to coronavirus and fear of loss, not a single OMC has been keeping stockfile of products causing a burden on Pakistan State Oil company.
An official said, “Except the Pakistan State Oil, none of the OMCs are carrying satisfactory stocks, particularly high-speed diesel (HSD). Further, OMCs are not lifting products from refineries due to financial gain/loss.”
The government official also pointed out that “the Attock Refinery, Pakistan Refinery and Pak-Arab Refinery Company (Parco) are at the verge of closure while National Refinery and Byco Petroleum Refinery have suspended their operations”, like many other refineries at loss; therefore, the country is at risk to face the shortage of HSD.
“To avoid untoward situation, Ogra being regulator is requested to monitor the performance of OMCs and direct them to maintain 20-day mandatory stocks at their depots failing which, punitive action may be taken against defaulting OMCs in order to ensure smooth operations by refineries.”, he added.
Within two weeks, there has been 60 to 70 percent decrement in the sell of petroleum products. The officials reported that the consumption of petrol and HSD has been decreased to 60 pc and 75 pc respectively.
