Oil Sector Seeks Deadline Extension for ATG System Installation at New Fuel Outlets

New-oil

KARACHI: Pakistan’s oil industry has requested the Oil and Gas Regulatory Authority (Ogra) to provide a clear and realistic timeline for the installation of Automatic Tank Gauging (ATG) systems at new retail outlets, citing financial and operational challenges arising from the sudden enforcement of the requirement.

The appeal comes as part of the broader digitalisation drive following the launch of the ‘Raahguzar’ mobile app, which marked the first phase of modernising Pakistan’s oil supply chain. The second phase, currently under development with the Punjab Information Technology Board (PITB), involves creating a comprehensive Track and Trace system, while the third phase aims to digitise retail outlets for real-time monitoring and operational integration.

In a letter to Ogra, the Oil Companies Advisory Council (OCAC) highlighted that the recent directive issued on October 8, 2025, made the issuance of K-Forms—a prerequisite for commissioning retail outlets—conditional on ATG installation. The council said the abrupt move had caused commissioning delays and financial strain, with several outlets ready for operation now placed on hold.

Terming the ATG system a capital-intensive investment, the OCAC noted that each unit requires custom design, procurement, installation, and calibration time. It urged Ogra to grant a transition period until December 2026 to complete the installation process, subject to the regulator’s finalisation of a cost recovery mechanism.

The council further requested that Ogra direct the Department of Explosives to immediately resume issuing K-Forms to prevent further disruption in the sector, which contributes significantly to economic growth and job creation.

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