OGRA imposes Rs 40 million fine on OMCs

Aftab Ahmed

Islamabad: The Oil and Gas Regulatory Authority (OGRA) on Thursday imposed a Rs 40 million fine on leading oil marketing companies including foreign firm Shell for hoarding petroleum products that led to the petrol crisis across the country.

In addition to fines, a case has been registered against three Oil Marketing Companies including foreign firm Shell for hoarding petroleum products.

FIR has been launched by the Provincial Government of KPK against Shell Pakistan for hoarding the petrol at Taru Jabba, Peshawar. OGRA has imposed a fine on Shell Pakistan & Total Parco, PUMA, Go, Hascol and Attock Petroleum Limited. Field teams in other provinces have also been deployed and are now beginning to report.

A case has also been registered against Hascol Petroleum Limited and Gas & Oil Pakistan Limited for hoarding products.

Spokesperson in his official statement says that proactive and appropriate actions are being taken jointly by Petroleum Division, Oil & Gas Regulatory Authority, and all relevant stakeholders, including the Provincial Governments to normalize the fuel supply situation across the country due to the artificial shortage created by some OMCs and/or their dealers for profit maximization. This has resulted in shortages/ dry outs having an adverse impact on the lives of the general public.

Field inspection teams have been formed under supervision of DG Oil on directions of Federal Minister for Energy Omar Ayub Khan, comprising of members from FIA, OGRA, HDIP and respective District Administration assisted by Law Enforcement Agencies to verify stock availability, identification of black marketing, and hoarding by OMCs across the country. They visited Keamari and Port-Qasim port on 9th June 2020, they found more than 40 million litres of petrol at Keamari in the tanks which had not been moved by OMCs i.e. Hascol Petroleum Limited and Gas & Oil Pakistan Limited for which Assistant Commissioner recommended to concerned SSP to launch FIR against both OMCs.

Moreover, notices have been issued to the CEOs of these OMCs to appear in person and clarify their position. FIR has also been launched by the Provincial Government of KPK against Shell Pakistan for hoarding the petrol at Taru Jabba, Peshawar. OGRA has imposed a fine on Shell Pakistan & Total Parco, PUMA, Go, Hascol and Attock Petroleum Limited. Field teams in other provinces have also been deployed and are now beginning to report.

Moreover, it was stressed upon all OMCs that planned imports be made on schedule to meet the monthly needs.

The spokesperson reiterated that the committee constituted by the Minster to probe into various aspects of the present crisis including pricing and maintenance of reserved stocks would submit its report soon which would assist in streamlining issues and ensuring that they don’t occur in the future.

The vigilance, monitoring and enforcement teams are continuing with their operations and performing their duties during an adverse time. However, Petroleum Division urges the public at large and fuel retail outlets/ dealers not to engage in panic buying.