PM Orders Petrol Pump Licences Cancelled
Prime Minister Shehbaz Sharif on Thursday ordered the cancellation of petrol pump licences for outlets refusing to provide subsidised fuel to registered beneficiaries. The directive came at a high-level meeting at the Prime Minister’s Office in Islamabad to review the Prime Minister’s Fuel Relief Programme, The Express Tribune reported.
The prime minister warned of strict action against pumps denying the facility to eligible citizens, and directed the authorities to ensure beneficiaries faced no hurdles and pumps complied with government instructions.
Shehbaz expressed satisfaction over the programme’s progress and transparency. He said, “As a result of simplifying the process of registration and obtaining subsidies, there has been an increase in registrations, and more deserving citizens are benefiting from this facility.” He called the technology-driven and transparent subsidy mechanism a model for future public welfare schemes, and commended IT Minister Shaza Fatima, Federal Secretary Zarar Hashim Khan and their teams for setting up an effective monitoring mechanism and dashboard.
Petrol pump licences at risk as 59.4m tokens redeemed
The meeting was told 15,519,282 citizens had registered so far, including 15.06 million motorcycle owners and 449,800 owners of vehicles with engines of up to 800cc.
Officials said 63,153,685 tokens had been issued and 59,445,347 redeemed, a rate of just over 94 per cent.
Payments of Rs28.6 billion had been made as of 4 November, or 38 per cent of the Rs75 billion the Economic Coordination Committee set aside for the scheme on 14 September.
Separate call centres have been set up for consumers and pumps to handle complaints. Shehbaz stressed the monitoring mechanism must stay effective and the subsidy must reach beneficiaries without discrimination or administrative obstacles.
Order follows complaints of denied relief
The latest directive follows earlier reports of problems in the distribution of subsidised fuel at petrol stations. Feature Pakistan reported on 4 November that the prime minister had ordered action on pumps denying relief after complaints reached the government. Today’s order goes further, moving from action against individual outlets to cancelling their licences.
A report published on 25 October said around 31,000 consumers had been denied subsidies, prompting an audit of fuel stations and correction of registration errors. It pointed to refusal of service, technical faults, expired tokens and registration errors, and authorities discussed station-wise monitoring and audits of pumps with unusually low redemption figures.
On 16 September, Shehbaz had directed the setting up of facilitation desks at petrol stations, staffed by administrative officials, volunteers and pump staff, to help citizens complete registration and obtain subsidies.
How the fuel subsidy scheme works
The Economic Coordination Committee, chaired by Finance Minister Muhammad Aurangzeb, had approved the Prime Minister’s Fuel Relief Scheme on 14 September. Under the approved mechanism, two- and three-wheelers receive Rs500 weekly, equal to five litres at a subsidy of Rs100 per litre. Owners of cars with engine capacities of up to 800cc receive Rs1,000 every 10 days.
The Ministry of IT and Telecommunication runs the digital Fuel Pass System for transparent delivery. The scheme followed the latest petrol price cut to Rs362 per litre, and the cabinet has also discussed fuel and LPG supply, including the Middle East peace and fuel supply session.
What the order means for beneficiaries
For the 15.5 million registered citizens, the order means petrol pumps can no longer turn them away without risking their licences. Motorcycle and rickshaw owners form the bulk of beneficiaries, and many depend on the weekly Rs500 subsidy to keep transport costs down.
Rickshaw drivers have already felt the pressure of fuel costs, with LPG prices pushing some to cut back on meals. A subsidy that actually reaches them matters more than the headline allocation. The test is enforcement: the dashboard can flag pumps with low redemption, but cancellations must follow the licensing process, and beneficiaries who face refusal can report it through the call centres. The government will also watch the refinery audit debate, where dealers say an audit could cut fuel prices by Rs40 to Rs50 per litre.
Frequently asked questions
Why are petrol pump licences being cancelled?
Shehbaz Sharif ordered licences to be cancelled for petrol pumps that refuse subsidised fuel to registered beneficiaries under the Prime Minister’s Fuel Relief Programme.
How many people have registered for the fuel subsidy?
15,519,282 citizens had registered by 5 November, including 15.06 million motorcycle owners and 449,800 owners of cars with engines of up to 800cc.
How much subsidy has been paid so far?
Rs28.6 billion as of 4 November, or 38 per cent of the Rs75 billion allocated by the Economic Coordination Committee on 14 September.
How much subsidy do beneficiaries receive?
Two- and three-wheelers get Rs500 weekly, equal to five litres at Rs100 per litre, while owners of cars with engines of up to 800cc get Rs1,000 every 10 days.
