KARACHI: The Oil and Gas Regulatory Authority (Ogra) has directed oil marketing companies (OMCs) to ensure timely uplift of petroleum products from domestic refineries, warning that delays could disrupt refinery operations and fuel availability across the country.
According to an official communication, local refineries remain a critical part of Pakistan’s National Oil Supply Chain (NOSC), supplying nearly 70 per cent of the country’s diesel requirements and around 30 per cent of petrol demand.
The regulator instructed all OMCs to maintain continuous and timely lifting of allocated petroleum products to enable refineries to operate at optimum capacity and prevent excessive inventory build-up.
Ogra warned that delays or failure to uplift committed fuel volumes could trigger regulatory action under applicable laws, including possible restrictions on future imports.Industry sources said OMCs have not been lifting products in line with their Product Review Meeting (PRM) commitments since April, despite refineries maintaining production and facing rising inventories.
They added that the situation has created significant cash flow pressures for refineries as well as storage constraints.OMCs, however, maintain that their Price Differential Claims (PDCs) remain pending, affecting their ability to manage procurement commitments. Sources further said that Pakistan State Oil has also not been fully adhering to uplift obligations.Meanwhile, Pakistan is seeking to strengthen domestic refining capacity and reduce reliance on imported fuel amid evolving regional energy dynamics.
