Islamabad (GNP): Federal Minister for Petroleum Ali Pervaiz Malik sat down with a delegation from the Pakistan Petroleum Dealers Association (PPDA), headed by Chief Adviser Malik Khuda Baksh, for talks covering petroleum pricing reforms, deregulation, and issues affecting dealers across the country.
The PPDA delegation opened by acknowledging the Government’s handling of fuel supply during the disruptions triggered by the Strait of Hormuz crisis. They praised the Ministry of Petroleum for keeping fuel flowing to consumers nationwide without interruption despite the pressures created by regional instability.
Chief Adviser Malik Khuda Baksh noted that while several countries in the region had experienced unrest on account of fuel shortages, Pakistan had managed to keep supplies stable through prompt and well-coordinated government intervention. He conveyed the Association’s wholehearted backing for the Government’s policy approach on this front.
The Minister then walked the delegation through the planned shift from weekly to daily petroleum price updates. He explained that the new mechanism would draw on a seven-day rolling average of international market prices — the same underlying basis as the previous weekly system — but would refresh prices each day rather than once a week. The change, he said, is designed to bring greater transparency, reduce the scope for market distortions, and ensure that domestic prices track global movements more faithfully. The PPDA indicated its support for the proposed approach.
Ali Pervaiz Malik elaborated on the broader rationale behind the reform, explaining that the Government is steering petroleum pricing toward a market-driven model that puts consumer interests at the centre. He said the periodic price announcement cycle had grown into an opportunity for hoarding and market manipulation, creating avoidable disruptions. Moving to a daily pricing update based on a rolling average, he argued, would take the wind out of such practices and deliver a more stable and predictable pricing environment.
The delegation raised the matter of dealer consultation, requesting that petroleum dealers have a seat at the table when the rules and working arrangements between Oil Marketing Companies and dealers are being drawn up. The Minister gave his assurance that the Association’s input would be taken on board. The delegation also flagged the long-standing issue of dealer margins, which have remained unrevised, and called for an increase to eight percent. The Minister acknowledged the concern and arranged a meeting between PPDA representatives and the Oil and Gas Regulatory Authority (OGRA) for the following day to work through this and other outstanding issues in detail.
Wrapping up the meeting, Minister Ali Pervaiz Malik expressed appreciation for the PPDA leadership’s constructive and cooperative approach. He reaffirmed the Government’s determination to work hand in hand with all stakeholders toward a petroleum market that is transparent, competitive, and genuinely protective of public interest.
Sohail Majeed is a Special Correspondent at The Diplomatic Insight. He has twelve plus years of experience in journalism & reporting. He covers International Affairs, Diplomacy, UN, Sports, Climate Change, Economy, Technology, and Health.
