Lahore: The federal government has implemented a new policy for the fiscal year 2026-27, making significant changes in the import and pricing system of petroleum products in the country. Under the new strategy, the import of High Speed Diesel (HSD) will be done only through Pakistan State Oil (PSO), while the activities of private oil marketing companies have been restricted under new conditions.
According to official sources, after the approval of the federal cabinet, the Petroleum Division has issued new policy instructions to the Oil and Gas Regulatory Authority (OGRA). The government is of the opinion that the change in the import system was considered necessary to ensure the continuous availability of fuel due to fluctuations in oil prices in the global market, regional uncertainties and the need for a change in the import system.
Under the new policy, private oil marketing companies will now be able to import petrol only according to the proportion of sales in their market. The approval of the import quota will be given in the product review meetings held every month, while the minimum volume of each shipment has been set at 10,000 tons so that the supply system can be maintained in an orderly manner.
The authorities have also imposed a condition that if a company does not fulfill its import obligation within the stipulated period, delays shipments or does not lift the agreed quantity of fuel from domestic refineries, it will not be given new import permits for the next nine months. The move is said to be aimed at ensuring implementation of import commitments and avoiding supply disruptions.
The government has also allowed PSO to enter into a long-term petrol supply agreement with Omani state-owned company OQ Trading. According to officials, this decision has been taken to secure fuel supply in view of possible threats related to the Strait of Hormuz and uncertain regional conditions so that the country does not face import difficulties in any emergency.
The method of determining the prices of petroleum products has also been changed. Now OGRA will calculate daily prices based on the average price of the Platts benchmark of the Arab Gulf in the world market for seven working days. Import premium, customs duty and other costs will also be included on this basis, while the prices issued on Saturdays and Sundays will remain unchanged.
The government has directed OGRA to publish daily ex-depot prices on its website and make the price determination process more transparent. However, the rate of petroleum levy will continue to be kept within the limits fixed by the federal cabinet, while its final rate will be fixed on the recommendation of the Ministry of Finance for each financial year.
Government sources say that the main objective of the new policy is to regulate the import system, keep the supply chain stable and ensure uninterrupted availability of petroleum products in the country during the unusual situation in the global market.
We welcome your contributions to The Pakistan Observer. Submit your blogs, opinion pieces, press releases and news features to our editorial team.
Please send your submissions to our News Desk or Editorial team. We look forward to hearing from writers, journalists and contributors.
