Ogra imposes Rs 40 million fine on oil companies over fuel shortage

ISLAMABAD: Oil and Gas Regulatory Authority (Ogra) on Thursday imposed hefty fines on oil marketing companies (OMCs) for creating artificial fuel shortage in the country, ARY NEWS reported.

According to the regulatory body’s spokesman, 22 enforcement teams of the Ogra visited oil depots of various oil companies and inspected the stocks maintained by them.

The oil and gas regulatory body imposed an overall fine of Rs 40 million on six oil marketing companies for not maintaining the mandatory stocks. It also issued a show-cause notice to the three other companies on the matter and directed them to submit a reply within 24 hours.

It is pertinent to mention here that Oil and Gas Regulatory Authority (Ogra) on Tuesday said that it had issued show-cause notices to six oil marketing companies (OMCs) and registered cases against two of them over fuel shortage in the country.

These cases have been registered in Karachi, said the Ogra spokesman.

He said that the regulatory body has nothing to do with keeping a check on demand and supply of the petroleum products in the country.

The spokesman said that the Ogra had received complaints of artificial fuel shortage being created in the country against three oil companies. We have proofs of artificial fuel shortage being created by these three companies, he said and assured that action would be taken against them as per law.

He claimed that the oil companies would end the fuel shortage in a while if prices of petroleum products were increased in the country.

The spokesman further said that the Ogra teams would carryout inspection of oil depots of different OMCs companies to determine the stocks held by them.