ISLAMABAD: Pakistan is set to take a series of major measures —including weekly petroleum price revision, compensating oil companies for elevated costs of insurance and import premiums, and fuel conservation measures like mandatory work from home — to keep the markets liquid amid the drying out of trade movement following the closure of the Strait of Hormuz.
A summary is being submitted to the federal cabinet’s Economic Coordination Committee (ECC) in this regard for action without delay as petroleum prices appeared to surge, informed sources told Dawn.
However, even before the ECC takes these decisions, the state-run Pakistan State Oil (PSO), under the government’s assent, has launched two import tenders each for petrol and diesel outside the Strait of Hormuz as a precaution, although both product stocks are among the highest in the country at present.
Both petrol and diesel have over 500,000 tonnes of stocks, enough for 26 and 25 days’ cover. Meanwhile, Saudi Arabia has already been requested to provide oil supplies through an alternative Red Sea route.
According to the officials, the Centre had directed all provincial chief secretaries to attend the meeting of the newly created 18-member cabinet committee to monitor petroleum prices scheduled for Thursday. The meeting will consider mandatory work from home wherever possible for the public and private sectors. The meeting could consider other measures as well, with the coordination of the provinces.
