The Economic Coordination Committee (ECC) has approved a significant adjustment in the remuneration structure for petroleum dealers and oil marketing firms — a move aimed at sustaining operations of fuel stations across Pakistan.

Under the decision, margins for Oil Marketing Companies (OMCs) and commissions for petrol-pump owners will be increased by up to 10 percent, aligned with changes in the national Consumer Price Index (CPI) for fiscal years 2023–24 and 2024–25.

The hike will be implemented in two phases: half of the increase will take effect immediately, while the remainder is contingent on progress in a sector-wide digitisation drive. The Petroleum Division has been directed to report on digitisation rollout by June 1, 2026.

According to official sources, the margin increase is likely to push retail petrol and diesel prices up by as much as Rs 2.56 per litre.  The immediate pass-through to consumers is expected to be about Rs 1.28 per litre, with the rest depending on the second instalment tied to digitisation progress.   On the supply side, the margin increase provides critical relief to fuel-station operators. Many pump owners have faced surging operational costs — including rise in logistics, overheads, and administrative expenses — prompted by inflation and exchange-rate fluctuations. The margin hike aims to help them remain viable and maintain uninterrupted supply.

The margin revision comes as part of a broader set of decisions by the ECC aimed at stabilising the energy and transport sectors under economic pressure.

The ECC’s move can be seen as a balancing act: on one hand, it provides relief to fuel-station operators struggling with rising costs; on the other hand, it inevitably puts more burden on consumers through higher per-litre prices.

• For pump owners, the margin increase — especially if the second instalment is released after digitisation — could mean more stable operations and reduced risk of shutdowns or supply disruptions.
• For consumers, while the immediate price hike (≈ Rs 1.28/litre) may feel painful, it is a relatively modest increase in a broader context of inflation and global oil-price volatility — especially if the government resists further taxes or levies.
• For regulators, tying part of the margin hike to digitisation could improve sector transparency and enable better monitoring, which over time might help curb illicit practices, fuel adulteration, or misreporting at pumps.

 Credit: Independent News Pakistan (INP)