Pakistan’s petroleum dealers have refused to participate in the government’s Rs. 100 per litre petrol relief scheme, saying its payment and implementation process has not been clearly explained.
The Pakistan Petroleum Dealers Association (PPDA) announced the decision on September 16 during a press conference in Karachi. Vice Chairman Anwar Kamal said dealers were not properly consulted before the scheme was introduced and questioned how they would receive the subsidy amount after providing discounted fuel.
Under the scheme announced by Prime Minister Shehbaz Sharif, motorcycles, rickshaws and other two and three-wheelers are eligible for Rs. 100 relief per litre on up to 20 litres of petrol each month. Cars with engines up to 800cc can receive the same relief on up to 30 litres.
The government has developed a digital token system for the scheme, with the nationwide rollout scheduled for the night of September 16 to 17. The Economic Coordination Committee has also approved Rs. 75 billion for the programme.
The PPDA has called for the relief to reach consumers directly and also raised concerns about dealers’ margins and reimbursement. It warned that petrol stations could face closure if dealers are forced to implement the scheme without a clear payment mechanism.
