Pakistan has only 15 days of petrol reserves: Oil companies warn

Oil marketing companies have warned the federal government of a possible petrol shortage across Pakistan, urging immediate intervention to prevent disruptions in fuel supplies as reserves continue to decline.

Oil marketing companies have warned the federal government of a possible petrol shortage across Pakistan, urging immediate intervention to prevent disruptions in fuel supplies as reserves continue to decline.

According to industry representatives, the country’s available petrol stocks have fallen to a critically low level, with current reserves estimated at around 370,000 metric tons, enough to meet national demand for only 15 days.

The warning was conveyed by the Oil Companies Advisory Council (OCAC) in a letter addressed to Minister for Energy (Petroleum Division) Ali Pervez Malik on July 15, highlighting what it described as an increasingly serious situation regarding the supply of motor spirit (MS), commonly known as petrol.

The council cautioned that unless urgent measures are taken, the country’s fuel supply chain could face significant disruptions in the coming weeks. It said the situation has become more challenging due to delays in the clearance of imported petrol shipments, which are preventing timely replenishment of local stocks.

According to the oil industry, several imported fuel cargoes are awaiting clearance because of delays in the Web-Based One Customs (WeBOC) system and other procedural issues. If at least three scheduled petrol cargoes fail to reach the market on time, the availability of petrol at filling stations could be affected.

Industry officials also pointed to mounting financial difficulties facing oil marketing companies. They stated that outstanding payments amounting to Rs66.7 billion have created severe cash flow constraints, making it increasingly difficult for companies to finance fuel imports and maintain adequate inventories.

The OCAC emphasized that a combination of critically low fuel reserves, customs clearance delays, rising domestic demand, and financial pressures poses a serious risk to the continuity of petrol supplies across the country.