Reports have surfaced on Pakwheels, stating that Pakistan State Oil (PSO), a government-owned Oil Marketing Company (OMC) is the first to establish a EURO-5 fuel station in the country. As per the reports, the said fuel station will be established in Karachi, where the OMC plans on selling the Hi-Octane 97 fuel.
Reports also say that the OMC made the announcement on the weekend on the arrival of the first batch of EURO-5 fuel into the country. Pertaining to the said development, the country made the following statement:
Fulfilling its commitment, PSO has set the benchmark yet again and brought the nation’s first shipment of Euro5 standard Hi-Octane Fuel.
Federal Minister of Climate Change Malik Amin Aslam emphasized on the significance of this development, saying that, “Pakistan will enter into a new era of clean fuel,”. He stated that the deteriorating climate situation must be stopped, and hence, the EURO-5 fuel policy will be enacted from August 1, 2020.
Though the state-owned company is making serious headway into the introduction of EURO-5 fuel to the masses, it bears mentioning that the rest of the fuel sector, and the automotive industry, are not yet on the same page.
About a month prior, upon the announcement of the EURO-5 policy, representatives from the oil sector expressed their resentment to the change, citing factors such as cost-implication, logistical challenges and operational compliance issues that could become a serious concern for OMC’s.
On the other hand, the automakers say that the cars that are being manufactured and the old cars on the road are not compliant with the new fuel, which could impact the performance of the vehicles in question. To that reason, the auto sector has asked for a 2-year time period from the government to switch to EURO-5 compliance.
Speculations are also being made regarding the fact that if the EURO-5 fuel cost implications would have to be borne by the public as well, since PSO is yet to announce the price of the EURO-5 fuel. The OMCs warned the government that the negative fuel management and logistics cost implications would imply that the public would also have to put up with the colossally inflated fuel prices. Whether or not that prediction comes true, remains to be seen.