Pakistan State Oil | Pakistan

ISLAMABAD: The government has imposed a complete ban on importing high-speed diesel (HSD) by private oil marketing companies (OMCs). Instead, only the state-owned Pakistan State Oil (PSO) will handle imports for the current fiscal year. This is part of the federal cabinet’s decisions, which also capped petrol import quantities by private OMCs based on their past sales. The decisions are premised on the Petroleum Division’s request in the wake of ‘prevailing market conditions and in order to minimise the impact of rising petroleum prices on consumers’. Under the decision, PSO would also enter a long-term supply contract with OQ Trading of Oman for petrol imports, in view of security of supplies needed in view of the closure of the Strait of Hormuz. The decisions have been conveyed to the Oil & Gas Regulatory Authority (Ogra) as fresh policy guidelines for fuel arrangements and a revised pricing mechanism for petroleum products. “HSD import to be allowed only through PSO for FY27,” the guidelines said. Govt cap...