ISLAMABAD (special crosspondent) – Federal Minister for Petroleum Ali Pervaiz Malik has officially constituted a high-level committee to resolve long-standing grievances raised by the Oil Tanker Contractors Association (OTCA). The announcement follows a productive meeting held in Islamabad with an OTCA delegation led by President Abidullah Afridi, signaling a potential shift in sector regulation. The newly formed committee, chaired by the Special Secretary Petroleum, has been tasked with delivering comprehensive recommendations within a one-week timeframe.

Composition and Mandate of the Committee

The committee is structured to ensure multi-stakeholder representation, including the Director General (Oil), officials from OGRA, representatives of the OTCA, and the Secretary General of the Oil Companies Advisory Council (OCAC). This collaborative approach aims to address systemic inefficiencies similar to those recently seen in other national sectors, such as Pakistan Hydropower Projects Face Soaring Costs Amid Inflation and Delays. The focus remains on evaluating industry concerns while ensuring that essential fuel supply chains remain operational and transparent.

Core Demands of the OTCA

The delegation detailed several critical demands aimed at stabilizing the logistics sector. These include a reduction in the quota for the White Oil Pipeline and the establishment of a transparent mechanism for the awarding of freight contracts by Oil Marketing Companies (OMCs). Furthermore, the association has requested the formal linkage of freight rates to the Consumer Price Index (CPI) and an immediate halt to commercial loading activities. These structural reforms are essential for the industry, much like the broader efforts by the government to support industrial growth, as seen in initiatives to Jam Kamal Reaffirms Government Commitment to Empowering Pakistan’s SME Sector.

Government Directives and Future Outlook

Minister Ali Pervaiz Malik has mandated that OGRA work proactively with industry stakeholders to investigate potential discriminatory practices within freight contract awards. OMCs have been instructed to submit formal written policies regarding these contracts for ministerial review. Additionally, the Ministry has prioritized the implementation of robust tracking systems for oil tankers, ensuring that primary transportation remains distinct from dealership vehicle operations. Ensuring these standards is vital for market efficiency, paralleling the government’s recent regulatory moves, such as the ECC Approves Rs4.2bn Package For Closing PASSCO Operations By 2026. Minister Malik reiterated that the state’s primary goal is the maintenance of uninterrupted fuel supplies, urging all parties to prioritize the national interest during current economic challenges.