Petroleum Minister Ali Pervaiz Malik said on Wednesday that the government has planned to shift oil supply in the country from transport-based distribution to pipelines.
He made these remarks while briefing the media on the performance of the petroleum sector.
The minister noted that implementing this plan will reduce transport costs and provide relief to consumers. Currently, diesel is supplied 100 percent through transport, while petrol supply depends 60 percent on transport.
According to the Petroleum Division, under the plan, the first phase will involve laying a pipeline from Faisalabad to Thal. A tracker system has also been introduced to curb illegal oil supply chains. Reforms in the petroleum sector have led to stabilization of gas prices, and the circular debt in the gas sector has been brought down to zero.
The minister emphasized that payments must be made for fuel already used, whether by the government or consumers. A high-powered committee has been established to address payments involving three government-owned companies.
Steps have been taken to attract new investment to the sector, with special focus on resolving issues in the oil supply chain and oil marketing companies. Problems related to payments between OMCs and the Federal Board of Revenue are also being addressed, with two to three meetings held with the Finance Ministry on this matter.
Ali Pervaiz Malik said that progress on these initiatives is expected within a week to ten days. A new policy will be formulated for the LPG industry. Currently, the LPG sector is deregulated, while prices remain regulated. He also highlighted that a long-term policy must be implemented for the development of the mining sector and questioned when the first dollar was spent on Reko Diq.
