LAHORE: Chairman Oil Marketing Association of Pakistan (OMAP) Tariq Wazir Ali on Monday said that OMAP sternly denies all allegations leveled by Oil and Gas Regulatory Authority (Ogra).
In a letter written to Chairman Ogra Masroor Khan, Tariq Wazir Ali expressed deep disappointment and concern regarding the tone and content of OGRA’s letter. OMAP vehemently denies the allegations made by Ogra and categorically rejects any insinuations of wrongdoing or impropriety by our member Oil Marketing Companies (OMCs). It is regrettable that Ogra has once again displayed a clear bias and partiality by seemingly excluding the names of few favorite OMCs from its scrutiny.
As per the letter OMAP strongly urges Ogra to reconsider its approach and engage in a constructive dialogue with our member OMCs. We are confident that together, we can uphold the integrity of the industry and ensure the uninterrupted supply of petroleum products to the nation. It is also imperative to highlight the pressing issue that confronts the Oil Marketing Companies (OMCs) in Pakistan: the considerable delay in the resolution of financial adjustments, including FX losses Adjustments, negative IFEM, late settlement of ICFS, HSD premium differential and sales tax adjustments.
This prolonged delay has given rise to a substantial and unsustainable financial burden on the OMCs. On a monthly basis, these companies are compelled to inject vast sums of rupees into the energy supply infrastructure to ensure its seamless and uninterrupted operation. Regrettably, the continued procrastination in addressing these pending adjustments has begun to take a severe toll on the financial health of these OMCs, significantly affecting their balance sheets. This untenable situation not only hampers the industry’s ability to operate efficiently but also endangers the stability of the entire energy supply chain in the country.
Tariq Wazir Ali called for urgent attention and prompt resolution of these issues are imperative to safeguard the economic well-being of the OMCs and to ensure the nation’s energy security, but Ogra is completely silent on this important issue. OMCs have diligently followed the law of the land and complied with all required criteria, working tirelessly to ensure the availability of petroleum products to citizens of Pakistan.
He further said despite our repeated requests, Ogra has failed to provide a level playing field to all OMCs. It is our strong belief that regulatory bodies should act impartially and transparently, ensuring fairness and equality in the industry.
Furthermore, we would like to emphasize that all OMCs under the OMAP umbrella are committed to ensuring the uninterrupted supply of petroleum products to the nation. Any insinuation that we would jeopardize the country’s energy security is not only unfounded but also insulting to the dedication and hard work of our member companies.
OMAP is committed to working with Ogra and other relevant authorities to address any legitimate concerns and maintain the highest standards in our industry. However, we insist that allegations and insinuations must be based on concrete evidence and fair assessments rather than biased judgments.
Copyright Business Recorder, 2023
Comments
Comments are closed.