KARACHI: The Oil & Gasoline Regulatory Authority (Ogra) disapproved the reporting of its correspondences with the refining sector within the print media in a letter of protest despatched to the nation’s 5 refineries on Thursday.
Displaying its sturdy displeasure over the printing of stories experiences associated to points between the regulator and the business, it stated, “This motion is extremely unprofessional and undermines the cooperative efforts that Ogra constantly extends to resolve points confronted by the refineries,” the letter stated.
Ogra added that it has all the time been dedicated to supporting the refineries, guaranteeing the sleek decision of their challenges by way of all potential means. “Nevertheless, the publication of those correspondences, together with unwarranted feedback, not solely disrupts this course of however might undermine” the establishment’s repute, the strongly-worded letter of Ogra stated, including {that a} skilled perspective sooner or later is predicted from the business.
It might be famous that The Information reported on June 14, 2024 in regards to the difficulty pertaining to the import of excessive pace diesel (HSD) when the refineries, in a letter to Ogra, protested towards the approval of HSD imports regardless of the provision of native HSD shares.
The regulator acknowledged that gross sales and imports/manufacturing estimates/plans are finalized within the PRM after considering many variables with the view to construct resilience into the nationwide oil provide chain. “Nevertheless, historical past has taught us that the plans can go awry and there’s a have to constantly monitor and impact adjustments within the plans when necessitated by materials adjustments within the assumptions used for planning within the PRM,” it stated.
Per Ogra, there have been quite a few cases the place deliberate imports of OMCs are decreased/minimize with mutual consent from the refineries, and different instances, imports had been allowed to OMCs past the initially determined volumes within the PRM. This flexibility is crucial to take care of a resilient nationwide oil provide chain and to forestall any potential dry-outs.
OGRA identified that GO requested for approval to import 15,000 metric tonnes of diesel in June 2024, and this request was made because the refineries had been hesitant over the previous few months to provide merchandise to GO attributable to disagreements over monetary/industrial phrases.
Consequently, Ogra, in its earlier communication vide letter dated June 4, 2024, additionally suggested the refineries to supply aggressive industrial phrases to their prospects — OMCs — to facilitate the finalization of sale-purchase agreements. It’s pertinent to say that in the identical month, PSO’s imports of 165,000 metric tonnes had been additionally finalized in the identical PRM assembly and the refineries had no difficulty with the identical.
Due to this fact, it was “stunning to be taught from the print media in regards to the refineries’ stance” over the next approval by the authority, Nonetheless, within the July PRM, GO was directed to finalize its agreements with the native refineries as had been different OMCs for guaranteeing native upliftment.Ogra requested the refining sector to enter into agreements with all OMCs, together with rising OMCs, by providing aggressive phrases.
