KARACHI, September 16, 2026: Pakistan Petroleum Dealers Association (PPDA) representatives have rejected the government’s proposed petrol relief package, saying dealers cannot sell petrol at Rs100 less per litre without a clear mechanism for reimbursement of the amount.
Speaking at an emergency press conference on Wednesday, PPDA Chairman Malik Khuda Bakhsh, Vice Chairman Tariq Hassan, Anwar Kamal, Sindh President Ameer Khan and Karachi President Saeed Khan said dealers were not consulted before the relief package was announced.
Malik Khuda Bakhsh said dealers could not absorb the proposed Rs100-per-litre reduction and questioned how the money tied up under the scheme would be reimbursed.
He said previous commitments regarding payments had not been fulfilled, making dealers reluctant to provide petrol on credit. He added that if the government attempted to enforce the package through coercive measures, petrol pumps across the country could be shut down.
The PPDA chairman also rejected the proposed “smart lockdown,” saying that if the government wanted to provide relief to consumers, it should finance the subsidy rather than place the financial burden on petroleum dealers.
Dealers Seek Government Consultation
Tariq Hassan said dealers had been attempting to contact government representatives for the past three days but claimed that communication had not produced a solution.
He said the association represents around 14,000 dealers nationwide and that, according to the dealers, they would not sell petrol under the relief package from Wednesday night unless their concerns were addressed.
Anwar Kamal said the scheme would need to be revised through negotiations with dealers to make it commercially workable.
The dealers suggested that the government could consider allowing oil marketing companies to directly import petroleum products as one possible way of addressing the issue.
The association also called for a simpler mechanism to provide relief to consumers without placing additional financial pressure on petrol station operators.
PPDA Demands Clear Payment Policy
The dealers said billions of rupees could remain tied up for an extended period under the proposed arrangement and questioned who would bear any resulting financial losses.
They called for a clear government policy on reimbursement and payment arrangements, warning that uncertainty over the mechanism could affect petrol dealers across the country.
The dispute comes amid broader concerns raised by petroleum dealers over operating margins, pricing mechanisms and supply arrangements. In August, the PPDA had also raised demands concerning dealer margins and petroleum pricing.
The government’s position on the dealers’ latest objections and the proposed reimbursement mechanism was not included in the material provided for this report.
Photo Caption:
PPDA Chairman Malik Khuda Bakhsh, Vice Chairman Tariq Hassan, Anwar Kamal, Saeed Khan and others address a press conference.