Petroleum Dealers Decry Amendments to Petroleum Act, Warn of Nationwide Shutdown

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KARACHI: The Pakistan Petroleum Dealers Association (PPDA) has strongly opposed the recent amendments to the Petroleum Act, 1934, citing concerns over unchecked administrative powers, the rise in smuggling of petroleum products, and the proliferation of illegal petrol stations.

Speaking at a press conference at the Karachi Press Club on Saturday, *PPDA Chairman Abdul Sami Khan, alongside senior members, criticized the amendments for granting *unrestricted authority to assistant and deputy commissioners to inspect and seal petrol pumps — a move he warned could foster corruption and disrupt the operational freedom of legitimate fuel dealers.

“This is not a mere technical change; it’s a drastic and alarming shift that threatens the sustainability and security of the entire petroleum sector,” he said, emphasizing that the amendments were introduced in the National Assembly without stakeholder consultation.

Mr. Sami also condemned the government’s inaction against the *rampant smuggling of Iranian petroleum products, which he claimed now constitute **30% of the market share, and the unchecked growth of *illegal petrol pumps, especially in border regions.

Before the media briefing, PPDA representatives met with *OGRA Chairman Masroor Khan, raising their objections to the amendment bill and discussing other pressing issues such as the **revision of dealers’ commission rates, *deregulation of petroleum pricing, and the urgent need to tackle fuel smuggling.

Sami added that a PPDA delegation will meet with the Federal Petroleum Minister on Monday to seek resolution of their concerns. However, he issued a stern warning: “If our demands are not met, we will be left with no option but to shut down petrol stations across the country.”

The association has repeatedly urged the government over the past two years to address the influx of smuggled fuel from Iran, but no effective action has been taken, Mr. Sami noted.

The PPDA is now urging the government to engage with stakeholders, reconsider the amendments, and launch a comprehensive crackdown on illegal fuel trade to protect the interests of the legal petroleum sector.

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