Pakistan May-10-2024: Dr. Muhammad Hanif Mughal, Chairman of Pakistan Tehreek-e-Shadbad, said on Friday that the removal of the government’s control over oil prices should not be taken lightly as it is a serious national security issue.
Some elements want to push the country into chaos and for profit, which should not be allowed, he said.
The Prime Minister, Army Chief, and Chief Justice should take notice of the situation; otherwise, it can go out of control, he added.
Dr. Hanif Mughal said in a statement issued here today that by allowing the deregulation of oil prices, the people will become bankrupt and the economy of Pakistan will be destroyed.
This move, backed by some powerful companies and individuals, will sink the country into a quagmire of problems. He said that there is neither infrastructure nor storage capacity in Pakistan for such an adventure.
It is said that the deregulation would empower oil marketing companies to determine fuel prices on the basis of market forces. Consumers getting gasoline and diesel from places closer to ports and refineries would get relatively cheaper products. However, in fact, it will be a death warrant for the people and the petroleum industry of Pakistan, he underlined.
According to the International Energy Agency, it is mandatory for every member country to stock at least 90 days of oil. The United States, China, and dozens of other countries have stored oil for several years, which can be brought to the market when needed.
However, he said, Pakistan barely has the capacity to store 15 to 20 days of oil, due to which this sector remains unstable. Despite government oversight, oil marketing companies often create crises for profit.
Deregulation in these circumstances is like playing with fire, as our fragile economy is unable to withstand the shocks resulting from deregulation, he warned.
