Amidst heightened demand during the harvesting season, the Oil & Gas Regulatory Authority (OGRA) has directed oil marketing companies (OMCs) to ramp up their uptake of high-speed diesel (HSD) from refineries. This move aims to ensure a smooth supply chain and cater to the surging demand for diesel across Pakistan.
OGRA’s directives come in response to reports indicating a relatively low uplift of HSD despite recent actions against Iranian diesel smuggling. In its communication to OMCs, OGRA emphasized the critical need for efficient operations and coordination within the National Oil Supply Chain to meet consumer fuel requirements during this peak season.
Adil Khattak, Chairman of the Oil Companies Advisory Council (OCAC), highlighted the cautious approach of OMCs in uplifting HSD to avoid inventory losses. He mentioned that recent anti-smuggling measures have led to increased demand for diesel, further amplified by the ongoing harvesting activities.
However, concerns regarding the fortnightly review of petroleum product prices were raised, as they often lead to speculation and disrupt the supply chain. Despite these challenges, formal sector HSD demand has doubled recently, indicating the significance of OGRA’s call for increased diesel uplift to meet the nation’s fuel needs during this critical period.
Story by Tanveer Malik
