Oil firms, dealers trade blame amid expected price hike

Ahead of a substantial price hike, the Pakistan Petroleum Dealers Association (PPDA) on Thursday accused major oil marketing companies (OMCs) of creating an artificial shortage of petroleum products to earn windfall inventory gains and appealed to the government and the Oil and Gas Regulatory Authority (Ogra) for urgent intervention in the situation. Oil industry officials said the price hike in petrol and high-speed diesel was going higher than anticipated earlier as prices in the Middle East market had increased further on Wednesday and Tuesday. Based on the latest market data, the price of petrol was estimated to be higher by more than Rs9 and that of HSD by over Rs11 per litre. However, the hikes would be Rs14 and Rs16, respectively, if the government increases the petroleum levy by Rs5 per litre from July 1.