Pakistan may soon see shortage in petrol, diesel supply: Reports

Pakistan is likely to run out of petrol and diesel in May and June to meet local demand as the government’s lack of firmness in resolving differences over lockdown compounded impact of the pandemic-driven supply chain disruption, sources  told The News International on Monday.

The sources told the newspaper that there is likely to be diesel and petrol shortage in second half of May and June due to planning and approval delays at the ministry of petroleum and non-availability of cargo ships globally. 

Since the virus outbreak earlier this year, the federal and provincial governments locked horn over the significance of lockdown to curb spread of the novel coronavirus with Sindh government adamant to keep industrial and economic activities shut down without managing alternatives to mitigate economic losses, reported the newspaper.

The country's petroleum ministry earlier said there are enough oil stocks till May 15.

However, the ministry stopped oil marketing companies to import due to lockdown in March.

“The ministry did not lift this embargo in time for imports for April and May and approvals were issued for limited quantity,” a source told the newspaper. Industry sales, reported on May 1, were 63,732 metric tons for high speed diesel and 48,050 metric tons for premium motor gasoline.

“This has raised the fears of possible dry-out in the country if the supply chain planning is not improved immediately,” an industry official, requesting anonymity, told the newspaper.

Sources told The News International the permission to import petroleum products for June has not yet been issued by the ministry of petroleum. The industry is baffled at such delay in approval in face of the operating environment globally.

Sources said ex-chairman senate Raza Rabbani, in a meeting, raised questions about reasons behind shortages of petroleum products.