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    Home » Fuel Reserves in Pakistan Critically Low Amid Disputes Between Dealers and Regulators
    Pakistan

    Fuel Reserves in Pakistan Critically Low Amid Disputes Between Dealers and Regulators

    Web DeskBy Web DeskMarch 5, 2026No Comments3 Mins Read
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    In a developing situation that has raised alarm across Pakistan’s energy sector, the Pakistan Petroleum Dealers Association (PPDA) has openly disputed the official fuel reserve figures released by the Oil and Gas Regulatory Authority (OGRA). The PPDA contends that the actual petroleum product reserves are far more limited than the regulatory body’s reports suggest, estimating that stocks will only suffice for approximately two weeks. This stark contrast in data has intensified concerns about the stability of fuel supply nationwide.

    Abdul Sami Khan, the chairman of the PPDA, expressed serious apprehensions regarding the ongoing supply disruptions that have been affecting fuel stations throughout the country. He emphasized that if these interruptions continue unchecked, the situation could deteriorate rapidly, potentially forcing many petrol pumps to shut down temporarily. Khan highlighted that the current distribution system is flawed, pointing out that fuel deliveries to dealers are not aligned with average consumption rates, which exacerbates shortages at the retail level.

    Adding to the complexity of the crisis is the suspension of Iranian petrol and diesel imports, a move that has placed additional strain on Pakistan’s oil marketing companies. The halt in imports has coincided with the implementation of a quota system for petroleum product distribution, which dealers argue has further complicated supply logistics and limited access to necessary fuel quantities. These factors combined have created a precarious environment for both suppliers and consumers.

    Meanwhile, OGRA has sought to calm public fears by reaffirming that there are adequate petroleum reserves within the country. The regulatory authority has urged citizens to avoid panic buying, which could worsen the supply situation. OGRA’s assurances come amid rising tensions and growing calls from petroleum dealers for increased security measures. Dealers have formally requested the Inspector General of Sindh to deploy security personnel at petrol stations to safeguard operations and prevent any disruptions that could arise from the current instability.

    In a related development, the Oil Marketing Association of Pakistan (OMAP) issued a cautionary statement warning of potential fuel shortages if the ongoing allocation issues with local refineries remain unresolved. The association’s letter, dispatched from Lahore, expressed deep concern over what it described as a deviation by domestic refineries from previously agreed supply commitments. This breach of trust has left oil marketing companies in a difficult position, as they had planned their supply chains based on assurances from the refineries.

    Tariq Wazir Ali, chairman of the oil marketing companies group, revealed that many companies had refrained from importing additional fuel cargoes, relying instead on the promised deliveries from local refineries. However, the refineries later introduced a new product distribution mechanism without consulting the oil marketing companies, resulting in significantly reduced fuel allocations. This unexpected shift has disrupted the carefully coordinated supply plans and heightened the risk of fuel shortages across the country.

    OMAP further highlighted that alternative sources for petroleum products are not readily accessible at this time, which could severely impact the ability to maintain consistent fuel availability in the market. The association’s warnings underscore the fragile state of Pakistan’s fuel supply chain and the urgent need for coordinated efforts between refineries, oil marketers, and regulatory authorities to prevent a full-scale crisis.

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