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Pakistan State Oil (PSO) may stop fuel supply to Pakistan Railway (PR) due to non-payment of dues, it is reliably learnt. Informed sources revealed to Business Recorder that an amount of Rs 1091 million of PSO is lying pending with PR due to which the supplier is considering to stop fuel supply, which would result in closure of freight as well as passengers trains in the country.
"PSO is presently providing fuel to PR, but will surely stop supply in next two days if PR failed to clear PSO dues," a senior official of the PSO revealed.
During the current month PSO supplied 3.2 million liters diesel to PR including 50,000 liters supplied on July 18 along with 40,000 liters of kerosene oil. On the other hand PR had given four cheques worth Rs 297 million to the PSO, but those cheques could not be cashed due to non-availability of money in the account, officials maintained.
"If PR failed to pay the pending dues immediately, PSO will stop fuel supply to PR," said officials, adding that PSO has supplied 50,000-litre diesel to Railways considering national and common man's interest on July 18. Similarly PR placed demand and PSO fulfilled its demand. "Now Pakistan Railways owes us Rs 1091 million and they need somehow to manage their finances and pay the fuel supplier," officials added.
"We are in regular touch with PR and negotiations are still going on, however the dues are yet to be cleared", they added.
Finance Ministry has released Rs 2 billion to PR on Tuesday for current expenditure to lessen financial crises. The said amount would be used for the current expenditure including salaries, pensions, fuel, electricity and gas bills. However the PSO dues are yet to be paid, sources in the Railway Ministry revealed. When contacted, General Manager (GM) Operation Pakistan Railway Saeed Akhtar told Business Recorder that the government has released the amount to PR. "Now there is no issue and all dues of the PSO will be cleared by Thursday (today)", Saeed Akhtar added.

Copyright Business Recorder, 2011

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