The Oil and Gas Regulatory Authority has processed the disbursement of around Rs. 38 billion to oil marketing companies under the Price Differential Claims (PDC) mechanism, as part of the government’s effort to keep fuel prices affordable.
The amount has been released to 34 Oil Marketing Companies (OMCs) to compensate them for selling petroleum products at lower-than-market rates.
Officials said the payments are being made under a revised mechanism aimed at improving transparency, efficiency, and timely verification of claims, ensuring quicker settlement and better financial discipline in the system.
However, industry concerns remain. The Oil Companies Advisory Council has warned that delays in payments are affecting the cash flow of oil companies, which need continuous funding to import fuel, manage inventory, and maintain supply across the country.
According to industry estimates, a significant backlog still exists, including around Rs. 23 billion for mid-March, Rs. 48 billion for late March, and Rs. 57 billion for early April.
Despite the latest disbursement, stakeholders say timely payments remain critical to ensure smooth fuel supply and avoid disruptions in the oil sector.
