ISLAMABAD: The Oil and Gas Regulatory Authority (Ogra) has decided to revise the mechanism for verification of Price Differential Claims (PDCs), paving the way for settlement of the remaining Rs66.7 billion owed to oil marketing companies (OMCs), industry sources told The News.
The decision was communicated during a meeting between the regulator and representatives of OMCs held at Ogra headquarters on Wednesday. The meeting also discussed OMC margins, digitisation of petroleum products across the supply chain and taxation issues affecting the downstream petroleum sector.
According to sources, Ogra informed the industry that the Terms of Reference (ToRs) governing verification of outstanding PDCs would be revised before payments are processed. The proposed revision is expected to shift the verification process from the existing sales-based methodology to a purchase-based mechanism, a system previously followed for settlement of PDC claims. Under the proposed framework, claims would be verified on the basis of refinery lifting and import records rather than sales data, making verification easier for the regulator and external auditors while significantly reducing processing time.
The proposal was formally presented by the Oil Companies Advisory Council (OCAC) in a letter submitted on July 6, 2026 with Ogra ahead of the meeting. The industry body argued that purchase volumes are fully supported by refinery and import documentation, making them more reliable and easier to audit than sales records.
