On Thursday, the Pakistan Petroleum Dealers Association (PPDA) announced a nationwide petrol pump strike on July 18th, 2022, in case their demands were not met.
According to news outlets, banners regarding the protest were displayed in petrol pumps in Lahore. The PPDA demands a minimum wage of Rs. 25,000 and an increase in profit margin.
The inflation in electricity bills has also shrunk the dealers’ profit margin. Long periods of load shedding have also added high costs of generators which has further decreased the margin. The chairman PPDA, therefore, demands a minimum dealers’ commission of 6%.
Supply Issue
Another major factor that has added to the costs of petrol pumps is the heavy monsoon season. Due to heavy rains, the process of petrol distribution has halted in Karachi. The Keamari, Korangi, and Port Qasim oil installation areas in Karachi are blocked due to stagnant rainwater. This poor case of water drainage has resulted in 6,000 empty oil tankers that await to be filled since Sunday, July 10th.
The issue has directly affected the supply of petrol across Karachi and other regions of the country. The Chairman PPDA has asked for emergency drainage of oil installation areas to avoid a petroleum supply crisis in the country.
Previous Notification on Petrol Pump Strike
The PPDA had previously warned the government of a countrywide strike due to rising petrol prices. In a meeting on July 2nd, Chairman PPDA Abdul Sami Khan had discussed that the petrol price hikes and increased cost of electricity had left minimal dealers margin. This decreased profit margin was forcing petrol dealers to shut down their pumps. The PPDA had demanded to have at least a 6 percent dealer margin for the dealers to continue their businesses.
As their demands have not been met, the PPDA has announced the date of its strike.
What do you think about these demands and petrol pump strike? Do you think these are justified? Please share your thoughts in the comments section.
