Senate Panel flags irregularities in gas billing system, oil supply chain and OGRA regulatory failures

Senate committee raised serious concerns over gas billing disputes, alleged irregularities in oil marketing companies,

Islamabad: A Senate committee raised serious concerns over gas billing disputes, alleged irregularities in oil marketing companies, and weak regulatory control by OGRA. Lawmakers questioned unjustified meter removal, delayed petroleum payments, and lack of oversight in petrol pump affiliation changes. The committee directed urgent reforms, stronger digital monitoring, and fair treatment of consumers and oil companies.

One of the most controversial issues discussed was a consumer complaint regarding gas billing, where OGRA’s inquiry had reportedly supported the utility company despite claims of gas leakage and unfair billing. Lawmakers questioned how a consumer’s gas meter could be removed over alleged non payment when the consumer said bills were never properly delivered. Members described this as a serious gap in consumer protection and accountability and directed OGRA to personally review the case and resolve it within two weeks.

The committee also examined broader concerns about regulatory effectiveness and transparency in public utility services, stressing that ordinary consumers should not suffer due to system failures or weak oversight mechanisms.

During the meeting, lawmakers reviewed the Civil Servants (Amendment) Bill, 2026, and raised questions about deputation rules, particularly cases where officials remain on deputation beyond the permitted five year limit. While the Establishment Division assured that the policy would be reviewed, the committee unanimously approved the bill after discussion.

A major part of the discussion focused on allegations involving oil marketing companies (OMCs), particularly the reported unauthorized transfer of bonded petroleum products, which is believed to have caused losses to the national exchequer. Members expressed concern over regulatory gaps and stressed the need for strict monitoring and accountability.

Officials informed the committee that the Federal Board of Revenue (FBR) is working on digitizing its systems and conducting audits, while OGRA has already identified irregularities and referred certain matters to the Federal Investigation Agency (FIA) for investigation. The committee appreciated these steps but emphasized that investigations must remain fair, transparent, and independent.

Another key issue raised was the outstanding Price Differential Claims (PDCs) owed to oil marketing companies. Representatives of OMCs stated that complex documentation procedures and delayed payments are creating financial pressure and could affect fuel supply, especially during the upcoming harvesting season. Lawmakers acknowledged the importance of uninterrupted fuel supply and directed OGRA to engage with industry stakeholders and resolve pending issues.

The committee also directed that any interest earned due to delayed PDC payments should be passed on to the oil marketing companies, ensuring fairness in financial settlements.

In addition, lawmakers took serious notice of the unauthorized switching of oil marketing company affiliations at petrol pumps. Members questioned the absence of a strong regulatory framework to control such changes and stressed the need to protect agreements between retailers and companies. OGRA was directed to consult stakeholders and develop a clear policy to regulate such practices.

At the end of the meeting, the committee paid tribute to Group Captain Asim Tariq, who embraced martyrdom in a recent incident in Islamabad, and offered prayers for his elevated status.