The federal government under pressure from the Pakistan Petroleum Dealers Association (PPDA) has agreed to increase the profit margin of dealers by Rs. 1.64 per liter for motor spirit (MS) and high-speed diesel (HSD).
Margins were raised in the aftermath of meetings between State Minister Musadik Malik, PPDA delegates, and other stakeholders on Monday.
The dealers’ margin on petrol and diesel is currently Rs. 6 per liter, which will rise to Rs. 7.64 in two months as per the latest agreement.
Instead of a one-time increase, it was decided that the dealers’ margins would be enhanced by 41 paisas per liter over the course of 4 fortnights, essentially hiking fuel prices by Rs 1.61 per liter, on top of any revisions made by the government.
It bears mentioning that dealers initially demanded an Rs. 5 per liter increment but Musadik Malik did not agree to this demand at last week’s meeting.
Following Monday’s session on the matter, PPDA chairman Abdul Sami Khan said that dealers weren’t happy but agreed to the proposed increase to prevent strikes. He further informed that the agreement was signed by the Chairman and Director General of the Oil & Gas Regulatory Authority.
