Confusion over petrol pump strike as minister claims deal, association chief vows shutdown

Confusion surrounded the planned nationwide petrol pump strike on Wednesday after Petroleum Minister Ali Pervaiz Malik announced that the protest had been called off, while the chairman of the All Petrol Pump Owners Association rejected the government’s claim and said the shutdown would continue.

The conflicting announcements came after several rounds of talks between the federal government and representatives of petrol pump owners over dealers’ margins and the government’s petroleum pricing mechanism.

Addressing a press conference alongside two representatives of petroleum sector associations, Malik thanked petrol pump owners and dealers for accepting the government’s request to withdraw the strike.

However, All Petrol Pump Owners Association Chairman Humayun Khan later said negotiations with the petroleum minister had failed and that none of the association’s demands had been accepted.

“We do not accept the petroleum minister’s press conference at all,” Khan said in a statement.

He maintained that the nationwide strike would continue as announced and said petrol pump owners would remain united in pursuit of their demands.

“The strike will continue. We will stand together and secure our rights,” Khan said.

The association’s information secretary had earlier announced the withdrawal of the strike, creating uncertainty over whether petrol stations affiliated with different groups would participate in the shutdown.

Minister says margin issue to go before cabinet

Speaking at the press conference, Malik expressed gratitude to the Oil and Petrol Pump Owners Association, dealers and other representatives for what he described as their cooperation in resolving the dispute.

“I am grateful to the Oil and Petrol Pump Owners Association and everyone involved,” he said.

The petroleum minister said the government understood the difficulties confronting businesses and consumers because of the conflict in the region and its impact on global oil markets.

He said President Asif Ali Zardari and the federal government had worked together to manage petroleum supplies and contain price increases.

According to Malik, fuel prices were rising because of external pressures created by the regional war, leaving the government with limited room to absorb the increases.

“Prices are being forced upward because of the war in the region,” he said.

Malik added that Prime Minister Shehbaz Sharif, the field marshal, Interior Minister Mohsin Naqvi and Deputy Prime Minister Ishaq Dar had remained engaged in efforts to secure a ceasefire until late at night and were continuing their diplomatic work.

The minister said the long-pending issue of dealers’ margins would be forwarded to the federal cabinet along with recommendations from the Oil and Gas Regulatory Authority.

He also pledged that the government would work with petroleum dealers and pump owners to make the pricing and regulatory system more transparent.

“I thank the Dealers Association and the Owners Association for accepting our request,” Malik said.

Association chief disputes government’s account

Khan, however, said the petroleum minister was not prepared to accept any of the association’s demands.

He said the latest round of negotiations had ended without an agreement and accused the government of attempting to portray the talks as successful despite the continued disagreement.

“There were negotiations with the petroleum minister, but they failed,” Khan said.

“The minister is not ready to accept any of our demands.”

His statement contradicted the announcement by the association’s information secretary and the government’s assertion that the strike had been withdrawn.

It was not immediately clear how many petrol stations would remain open or which association representatives had formally authorised the withdrawal of the strike.

Strike announced after failed talks

The All Pakistan Petrol Pump Owners Association had announced a nationwide strike beginning at midnight on Wednesday after earlier negotiations with the government failed to resolve the dispute.

Association Vice Chairman Noman Butt had said the second round of talks with Malik ended without a breakthrough and warned that petrol pumps across the country would close from midnight.

A delegation led by Khan had held negotiations with the petroleum minister after the government called the association’s office-bearers for another round of discussions.

Before the latest meeting, Khan had described it as a crucial and final round of talks.

Petrol pump owners are demanding an increase in dealers’ commissions and changes to the government’s fuel-pricing policy. They argue that existing margins are insufficient to cover rising operating expenses and that frequent price revisions create accounting, inventory and administrative difficulties.

The contradictory announcements left consumers uncertain about fuel availability, with the final extent of the proposed shutdown depending on whether local petrol pump operators follow the information secretary’s withdrawal announcement or Khan’s call to continue the strike.