• IT minister makes field visits after a number of fuel pumps in twin cities report digital hurdles
• Dealers assured their claims will be reimbursed within 48 hours; govt has already provided Rs25bn for first month of scheme
• Rs66.7bn in unpaid claims straining industry liquidity: OCAC
ISLAMABAD: The much-touted fuel subsidy scheme launched by the prime minister faced teething problems on its first day on Thursday, as many petrol pumps declined to provide subsidised fuel through the digital system, claiming that they lacked the required facility to offer petrol at Rs100 per litre below the prevailing price.
After receiving several complaints, Minister for IT and Telecommunication Shaza Fatima visited a number of fuel stations in Rawalpindi to ensure that subsidised petrol was available to registered consumers.
The Pakistan Petroleum Dealers Association (PPDA) had expressed concerns a day earlier that dealers were unaware of the subsidy disbursement mechanism and feared they would have to run from pillar to post to recover the amount.
To address the issue, Petroleum Minister Ali Pervaiz Malik, along with officials of relevant ministries, including the Ministry of IT and Telecommunication, held a meeting with the PPDA on the mechanism for implementing the fuel relief scheme.
PPDA Chairman Malik Khuda Bakhsh led the delegation and joined the meeting through a digital link.
The State Bank of Pakistan (SBP) briefed participants on the reimbursement mechanism and assured them that claims submitted under the scheme would be processed within 48 hours, ensuring timely reimbursement to participating petroleum dealers.
The Ministry of IT and Telecommunication briefed participants on the digital system developed for implementation of the scheme.
The meeting was also informed that a dedicated control room had been established to facilitate petrol pumps and address their queries and complaints. Petrol pumps can contact the control room at 9772 for assistance.
The meeting was told that funds for three months had been earmarked for the Fuel Relief Scheme, of which Rs25 billion for the first month had already been provided to the SBP to facilitate timely reimbursement.
Mr Khuda Bakhsh said petroleum dealers welcomed the prime minister’s fuel relief scheme, but a lack of information about disbursement of the subsidy was creating confusion among members.
“We assure that all the members across the country will support the PM fuel relief scheme,” he said.
The petroleum minister appreciated the cooperation extended by petroleum dealers and emphasised close coordination among stakeholders for effective, transparent and timely implementation of the relief initiative.
OCAC warning
Meanwhile, the Oil Companies Advisory Council (OCAC) warned the government of disruption to the oil supply chain if outstanding price differential claims (PDCs) of about Rs67bn pending since March were not settled.
In a letter to the Oil and Gas Regulatory Authority (Ogra) chairman, OCAC said the pending PDC amount was equivalent to five imported petrol cargoes. The oil companies also sought an increase in their margins.
The letter, written by OCAC Secretary General Dr Nazir Abbas Zaidi and forwarded to Petroleum Minister Ali Pervaiz Malik, the petroleum secretary and director general oil, said oil companies were finding it increasingly difficult to finance an uninterrupted fuel supply chain because Rs66.7bn in PDCs remained outstanding.
The OCAC said the situation had been aggravated by the evolving geopolitical environment and potential disruptions to regional supply routes, including Saudi Arabia’s East-West Pipeline.
It warned that the country could face significant supply-side challenges under the current regional situation as the industry’s liquidity continued to deplete due to lack of support from the authorities.
“Any resulting supply-chain disruption must not be on account of the oil industry,” OCAC said.
The council said that despite repeated communications and extensive verification and audit processes, its request for settlement by June 8, 2026, remained unresolved.
“We urge Ogra for urgent conclusion of verification and release of all verified and approved claims, including the approved premium differential claims relating to motor spirit (petrol) imports during the recent geopolitical crisis,” it said, referring to the situation following the start of US-Israeli war on Iran at the end of February.
The council also sought revision of OMC margins, stressing that they were last revised in September 2023 and had remained unchanged despite increases in operating, financing, technology, regulatory and compliance costs.
Published in Dawn, September 18th, 2026
