- July 21, 2026
- Posted by: Tresmark
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The Pakistan Petroleum Dealers Association (PPDA) on Monday urged the government to increase dealers’ margins to 8.0 per cent and involve them in framing operational rules with Oil Marketing Companies (OMCs), while extending its full support to the government’s proposed daily petroleum pricing mechanism.
The demands were raised during a meeting between Minister for Petroleum Ali Pervaiz Malik and a PPDA delegation led by Chief Adviser Malik Khuda Baksh.The association also requested that petroleum dealers be consulted during the formulation of rules and operational arrangements governing relations between OMCs and dealers.
Responding to the concerns, the petroleum minister assured the delegation that their views will be considered and said progress will be made on the issue of dealers’ margins. He also arranged a meeting between PPDA representatives and the Oil and Gas Regulatory Authority (Ogra) on Tuesday to discuss the matter and other outstanding issues.
The meeting also focused on the government’s proposed transition from weekly to daily petroleum price announcements. Briefing the delegation, the minister said the new mechanism would continue to be based on a seven-day rolling average of international prices. He explained that while the existing weekly pricing system also relied on a seven-day average, daily revisions will allow domestic prices to more closely reflect international market movements, improve transparency and reduce market distortions.
Minister Malik said the government is moving towards a market-driven pricing system to protect consumers and discourage practices such as hoarding and market manipulation, which have often accompanied periodic price announcements.
The PPDA welcomed the proposed pricing reform and pledged its support for the government’s initiative.The delegation also appreciated the government’s handling of petroleum supplies during the Strait of Hormuz crisis, saying Pakistan has maintained uninterrupted fuel availability despite regional uncertainty. Chief Adviser Baksh said that while several neighbouring countries face law and order challenges due to fuel shortages, Pakistan has ensured smooth supplies through timely government measures.
The minister thanked the PPDA leadership for its constructive engagement. The PPDA delegation included Chief Adviser Malik Khuda Baksh, Raja Waseem Kayani, Chaudhry Zafar Elahi, Babar Ali Chaudhary and Chaudhry Faisal Arif.
