PSO halts fuel supply to PIA yet again

KARACHI: Pakistan State Oil (PSO) has yet again halted the fuel supply to Pakistan International Airline (PIA) over non-payment of dues, ARY News reported citing sources.

According to sources, the PSO fuel supply has been suspended at Multan, Sukkur, and Gilgit, airports for the National airline.

Several Pakistan International Airline flights could not continue their flight operation as a result of fuel suspension by PSO.

Earlier, sources revealed that the flight operations of Pakistan International Airlines (PIA) are likely to be suspended amid a severe financial crisis.

According to sources, the national airline is in need of Rs 7 billion to continue its flight operation as the banks have denied issuing funds despite guarantees from the Pakistan government.

Caretaker Prime Minister Anwaar-ul-Haq Kakar had directed authorities concerned to expedite the privatization process of Pakistan International Airlines (PIA) and other loss-making state-owned enterprises.

Sources told ARY News that the PIA’s financial affairs will be handed over to Privatisation Commission as the latter would take measures to reduce its losses.

PIA: PM Kakar directs to speed up privatization

Sources further claimed that the commission will link the national carrier’s financial affairs with latest system. By improving PIA’s financial affairs, the commission will improve its balance sheet – which will help in carrier’s privatisation.

Meanwhile, sources added that the administrative control of the institution will continue to be with the PIA’s management. Moreover, the administrative affairs will remain under the Ministry of Aviation.

Sources also claimed that that the matters of PIA’s regulation will remain with civil aviation. The Privatisation Commission wants to make institution’s accounts transparent by December 31.