Federal Minister for Petroleum and Natural Resources, Amanullah Khan Jadoon has said the government can consider to cap oil prices once again, if the prices of the commodity continues to surge in the international market abruptly. Talking to Business Recorder in his chamber at the Parliament House here on Thursday, the minister, however, did not disclose that at which level the government would cap prices again.
"Yes, we (the government) will be considering the proposal of capping oil prices once again, if it reaches in the international market at an unbearable point for domestic consumers in the country," he said.
The minister, however, mentioned that the government had already paid a hefty amount of Rs 40 billion as subsidy to oil marketing companies to keep a cap on oil prices from July 2004 till January this year.
"I don't think Pakistan's economy will be able to bear further losses in the form of subsidy on oil prices, still we are ready to give it a fresh thought and we will not let the burden of high international market prices to be transferred on to end consumers, if it goes up wildly," he said.
About the recent price hike in oil prices, the minister argued it was due to the international market pressure and the government was absolutely helpless in this connection.
Commenting on the 'stern reaction' from different stakeholders on this hike, he said: "Those who are putting the blame for this on the government don't have any solid footing. It is due to increase in the international market."
"Very soon, most probably within months," was the instant response of Jadoon, when asked that how much time will it take on the process of transferring powers of oil prices determination from OCAC to Oil and Gas Regulatory Authority (Ogra).