Oil, diesel stocks sufficient until end of March, Senate SC on Cabinet informed

KARACHI, Mar 10 (APP):The Chairman of Oil and Gas Regulatory Authority (OGRA) on Tuesday informed the Senate Standing Committee (SC) on Cabinet Secretariat that oil and diesel stocks are sufficient until the end of March.

He revealed this in a meeting of the Senate Standing Committee on Cabinet Secretariat at the Secretariat Building in Karachi, held under the chairmanship of Senator Rana Mahmoodul Hassan.

The meeting considered two agenda items related to OGRA and NESPAK.The meeting was attended by Senator Saleem Mandviwalla and Senator Amir Waliuddin Chishti, while Senator Atta-ur-Rehman, Senator Abdul Qadir, Senator Farooq Hamid Naek and SACM Anoosha Rehman joined virtually.

The first briefing was presented by the OGRA authorities from Islamabad via video link. OGRA Chairman Shehzad Iqbal, along with the Senior Executive Director and Executive Director (Gas), briefed the Committee.

Responding to a query, OGRA officials stated that the Authority is not directly involved in the operational procedures of Oil Marketing Companies (OMCs), therefore, it cannot take action regarding changes made by OMCs. The Committee noted the response.

During the discussion, Senator Amir Waliuddin Chishti inquired about the current fuel reserves in the country. The OGRA Chairman informed the Committee that diesel and oil stocks are sufficient until the end of March with the facilitation of the Government, adding that discussions are also underway with other stakeholders.

The OGRA officials further stated that the Government’s austerity measures, including work-from-home arrangements and other steps to conserve fuel, would help extend the available reserves.

The Chairman Senator Standing Committee Rana Mahmoodul Hassan also sought clarification regarding the impact of the recent increase in petrol prices on the general public. Senator Farooq Hamid Naek, while participating online, questioned whether gas prices were also likely to increase and criticised the policy of salary deductions, asking how OGRA would justify such measures.

The OGRA authorities clarified that the Authority only proposes pricing recommendations to the Government. He further noted that the current situation is temporary and linked to regional developments, adding that prices may stabilise once the impact of the ongoing Iran conflict subsides.

Senator Saleem Mandviwalla stated that a separate meeting would be convened in Islamabad to review the matter, observing that Pakistan appeared to have increased prices more than other countries in the region. He also asked OGRA to clarify who had benefited from the increase, however, the Committee expressed dissatisfaction with the response provided.

Senator Fazal ul Rehman, who also joined the meeting online, emphasised that the public should not be overburdened and urged the Government to address the issue of rising fuel prices on a priority basis.

The second briefing was presented by NESPAK regarding the K-IV water supply project in Karachi. The Committee was informed that the project had recently been transferred to NESPAK for supervision, while the World Bank would oversee further processes before implementation proceeds. The Committee directed that the Chairman WAPDA be invited to the next meeting to provide a detailed analysis of the project, as it had remained under WAPDA’s management for several years.

During the meeting, the Chairman of the Committee also sought details regarding the cost of the Karachi Red Bus Transit (KRBT) corridor project being handled by NESPAK and was informed that its estimated cost is approximately Rs. 80 billion.

The Committee expressed concern over certain gaps in the project planning and directed that all relevant authorities be called to the next meeting for clarification. The Committee also raised concerns regarding delays and pending issues in the KRBT project, observing that the matter now warrants a formal inquiry. Members advised the Chairman to issue clear directions to the concerned authorities, otherwise, the Committee may consider appropriate action.

Moreover, the Committee received a detailed presentation from NESPAK on the Bus Rapid Transit (BRT) projects in Karachi, including the Yellow Line and the Lyari Transformation Project (LTP). Concluding the meeting, Chairman Senator Rana Mahmoodul Hassan directed NESPAK to prepare a more comprehensive briefing covering all BRT projects in the city for presentation at the next meeting.