Govt sets March 23, 2027 deadline for oil-sector digitisation amid industry dispute

Profit by Pakistan Today reported that the government has fixed March 23, 2027 as the final date for digitising the oil sector. At the same time, dealers no longer have to meet digitisation targets before receiving an approved margin rise. The Economic Coordination Committee had earlier cleared a Rs1.34 per litre increase in dealers' margins on petrol and diesel, which will apply from September 1, 2026.

The decision came after petroleum dealers disputed the link between their margins and digitisation, arguing that the work mainly fell to oil marketing companies. Those companies' own margin proposal of Rs1.22 per litre, based on the same inflation formula, will stay tied to Ogra's digitisation targets. The Finance Division backed the increases but suggested that 75% of the hike be delinked from digitisation instead of dropping the condition entirely.

The dispute escalated after dealers called a strike, leading to a meeting with the Petroleum Minister attended by dealer bodies, Petroleum Division officials and the Ogra chairman. Dealers had earlier asked to replace their existing fixed margin of Rs8.64 per litre with an 8% margin, which they put at Rs26 to Rs31 per litre. Ogra has yet to comment on the proposal.