Petrol pump owners reject PM relief scheme over payment concerns

The Petrol Pump Owners Association has declined to implement the government’s fuel price relief scheme, saying dealers have not received clear assurances about how subsidy payments will be made.

The association said it supports the idea of providing relief to consumers but has reservations about the payment mechanism. It also complained that petrol dealers were not properly consulted before the scheme was announced.

Dealers question subsidy payment process

Noman Ali Butt, an official of the petrol pump owners’ body, said the government had not clearly explained how dealers would receive the subsidy amount.

“The government’s subsidy scheme is good but we have reservations over the scheme’s payment mechanism,” he said in a statement.

Butt said the dealers had not been taken into confidence before the relief plan was initiated. According to him, neither the Ministry of Petroleum nor the relevant authorities had adequately communicated the details of the scheme to petrol pump owners.

He said the lack of information had created uncertainty among dealers who would be expected to participate in the programme.

Petrol pump owners demand payment guarantee

The association’s main concern is the repayment of the subsidy amount. Butt said the procedure for reimbursing petrol pumps remained unclear, making it difficult for dealers to commit to the scheme.

“The relief scheme is being imposed on petrol pumps without earlier information,” Noman Ali Butt complained.

He said dealers could reconsider their position if the government provided a clear guarantee that subsidy payments would be made on time.

“We can consider over the relief scheme if the government gives us guarantee of the payment,” he said.

Butt questioned how petrol pump owners could operate the scheme without knowing when and how they would receive the money.

“How could the dealers run the scheme when there is no guarantee of the payment,” he asked.

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Association says consultation was necessary

The petrol pump owners’ body also criticised the process through which the relief scheme was introduced. It said dealers should have been consulted before the government announced a plan that would require their participation.

Butt said launching the scheme without taking petrol dealers into confidence was difficult to understand. He maintained that the government should have discussed the practical and financial details with the association beforehand.

The concerns are centred on implementation rather than the stated objective of providing relief to consumers. The association said the subsidy announcement itself was a positive step, but the payment process needed to be made clear.