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Petrol pump owners threaten nationwide shutdown over commission dispute

Accuses government of not inviting in meetings, says commission should increase when fuel prices rise

People wait for their turn to get fuel at a petrol station in Peshawar. Photo: Reuters/ File


ISLAMABAD:

The Pakistan Petroleum Dealers Association (PPDA) and the All Pakistan Petrol Pump Owners Association (APPPOA) on Tuesday warned of a nationwide closure of petrol pumps if their demands for an increased commission are not met.

Speaking at a press conference at the Islamabad Press Club, PPDA Chairman Abdul Sami Khan said the association had considered a strike but refrained in the public interest. He added that they were neither invited to meetings nor consulted.

He demanded that their commission be increased to 8 per cent, accusing the government of attempting to extract all taxes from the petroleum industry.

Khan said a strike call would be announced after their next meeting. He added that all petrol pumps and dealers were united, warning that under such conditions, they might sell their pumps and shut down operations.

He further said that the Balochistan government had stated petrol would be available at Rs280 per litre in the province, alleging that Iranian petrol was entering the market and its price was being set locally.

APPPOA Chairman Humayun Khan said their primary demand was the introduction of a proportional commission. He said their commission should increase when fuel prices rise, adding that their business was becoming unsustainable under the current system.

Humayun said they could not continue selling petrol at existing commission rates and urged the government to address their demands before petrol pumps begin shutting down.

He also claimed that several unrelated institutions in Punjab were inspecting petrol pumps, adding that the government was venting its frustration on traders under pressure from US President Donald Trump.

He said petrol pump owners were currently receiving a commission of Rs8 per litre, adding that multiple taxes were deducted from this amount.

Humayun said their business was also being severely affected by the influx of smuggled fuel. He questioned why the authorities responsible for curbing smuggling had been unable to stop it and asked who was responsible for controlling smuggling at the borders.

He further alleged that oil marketing companies were hoarding petrol. He added that if dealers were not benefiting at all, it would be impossible to continue the business.

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