Ogra Orders Immediate Import of 140 Million Litres of Petrol Amid Middle East Tensions maintain
By Ali Imran — June 21, 2025
Islamabad: In a decisive move prompted by rising tensions between Israel and Iran, the Oil and Gas Regulatory Authority (OGRA) has instructed all oil marketing companies across the country to maintain at least 20 days’ worth of fuel reserves. The regulator has also ordered the immediate import of 140 million litres of petrol to counter any potential shortage that may arise due to the growing crisis in the Middle East. maintain
With the threat of conflict looming, authorities in Islamabad acted swiftly to secure the nation’s fuel supply. According to official sources, OGRA issued formal instructions to oil marketing firms to adhere to the 20‑day reserve requirement as a priority. Meanwhile, efforts have been accelerated to import petrol and secure delivery from suppliers ahead of schedule.
Expedited Arrival of Oil Shipments
Government authorities confirmed that a shipment of approximately 70 million litres of petrol, which was originally slated to arrive in Pakistan on July 6, has been rescheduled for an earlier delivery date. The vessel is now expected to dock on June 26, bringing much‑needed relief and ensuring continuity in supply. maintain
Officials also announced that an additional shipment of 140 million litres of petrol is expected to arrive in the country by July 1. The Pakistan State Oil (PSO), in collaboration with the Ministry of Energy, is actively working to secure these deliveries and mitigate any risk posed by potential disruption in the global supply chain. maintain
Contingency Plans and Emergency Tenders
Government representatives indicated that further emergency tenders may be issued in the coming weeks if the situation in the Middle East worsens. According to an official statement, “Pakistan is closely monitoring global oil market trends and the security situation across vital shipping routes. Should conditions deteriorate, the authorities are prepared to initiate more tenders to secure additional petroleum reserves.” maintain
The Importance of Strategic Petroleum Reserves
With tensions rising between Israel and Iran, countries reliant on oil imports are grappling with growing uncertainty. Pakistan is no exception. Its Petroleum Development Levy (PDL) structure has been a subject of debate, with some calling for its suspension amid rising global oil prices. maintain
However, the government has ruled out any cut in the PDL for the time being. At a recent meeting of the National Assembly’s Standing Committee on Finance, Finance Secretary Imdadullah Bosal stated clearly, “Pakistan has enough petroleum reserves for now, but if global prices continue to climb, local prices will have to be adjusted accordingly.” maintain
He further stated that any substantial rise in international oil prices — following the ongoing Israel‑Iran conflict — will inevitably affect the price of petroleum products within Pakistan. “We’re keeping a close watch. But if rates go up internationally, we’ll have to increase ours too. The levy is staying in place for the time being,” said the Finance Secretary. maintain
Parliamentary Debate and Political Unity
Opposition Leader Omar Ayub expressed serious concerns about the worsening global oil outlook. He warned that rising oil prices, combined with the ongoing conflict in the Middle East, could deepen Pakistan’s economic crisis. Ayub stated, “Pakistan is already caught in a domestic debt trap, and any further rise in oil prices will not only inflate the budget deficit but also widen the trade gap. We must be vigilant and prepared for the worst‑case scenario.”
In a rare display of unity, Finance Minister Muhammad Aurangzeb echoed Ayub’s concerns. Aurangzeb confirmed that Prime Minister Shehbaz Sharif has constituted a high‑level National Petroleum Committee tasked with assessing global petroleum prices and ensuring the availability of adequate reserves in the country.
The Impact of the Israel‑Iran Conflict on Global Oil Prices
The Israel‑Iran conflict has pushed the Middle East into a new and precarious chapter, with tensions reaching levels unseen in recent years. According to official state media, Israeli airstrikes have claimed the lives of at least 430 people in Iran, leaving roughly 3,500 injured.
This escalation of hostilities has put significant pressure on global oil markets. The Middle East is the world’s largest oil‑producing and exporting region, and any disruption to its shipping routes has serious implications for oil‑dependent nations like Pakistan.
Analysts warn that the crisis may deepen if the Strait of Hormuz — a critical channel for global oil trade — becomes a contested zone. Currently, about 20% of the world’s oil supply passes through this vital waterway.
Challenges in the Strait of Hormuz
According to sources within the Pakistan National Shipping Corporation (PNSC), shipping companies have already started grappling with rising operational challenges. Freight rates for oil tankers have increased sharply — by as much as 15% — due to growing fears of instability and potential conflict in the region.
A shipment that cost roughly $900,000 per trip prior to the crisis now costs between $1.1 million and $1.2 million per trip. Insurance premiums for oil tankers have also surged sharply, rising from approximately $15,000 per voyage to $22,000.
PNSC sources confirmed that one vessel experienced a two‑hour delay while entering the strait due to temporary GPS disruptions — a growing concern for shipping lines relying on precision navigation equipment. Such delays, combined with rising insurance and freight charges, are adding significant strain to global supply chains and placing pressure on nations like Pakistan that depend heavily on imported oil.
Preparing for Supply Disruption
Pakistan has long been reliant on oil imports from the Middle East, making it highly susceptible to fluctuations in global markets caused by geopolitical tensions. The federal government, in consultation with OGRA, has activated contingency measures aimed at offsetting the immediate threat posed by the Israel‑Iran conflict.
With the global oil market now grappling with rising prices and limited available supplies, Pakistani authorities have taken proactive steps to protect the national fuel supply. The early ordering and import of 140 million litres of petrol, combined with the rescheduling of the earlier shipment, aims to ensure uninterrupted availability across the country.
Rising Costs and the Risk of Inflation
While authorities have acted quickly, there are growing concerns about the longer‑term economic impact of rising global oil prices. The increased cost of oil tanker shipments, rising insurance premiums, and delays caused by the crisis could further raise the cost of petroleum products for Pakistani consumers. This, in turn, threatens to exacerbate the already high levels of inflation.
According to an official statement from the Ministry of Finance, if global oil prices rise beyond a certain threshold — as a result of the Middle Eastern crisis — Pakistan will be forced to adjust domestic pricing accordingly.
Importance of Strategic Energy Policy
The ongoing crisis serves as a reminder for Pakistani authorities of the critical importance of long‑term energy security and a robust contingency planning framework. The establishment of the National Petroleum Committee, announced by the Prime Minister, is a step in this direction.
This body will oversee:
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Market Monitoring: Keeping a close watch on global oil market trends and price fluctuations.
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Risk Assessment: Evaluating the risk posed by regional conflicts and their impact on global supply chains.
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Policy Making: Making recommendations for potential changes in pricing policies and identifying areas for investment in local refinery capacity.
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Collaboration: Engaging with international suppliers and partners to secure long‑term petroleum supply agreements .maintain
The Road Ahead: Challenges and Opportunities
While the Israel‑Iran crisis presents significant short‑term challenges for Pakistan, it also offers an opportunity for the nation to reevaluate its energy policies. The crisis has underscored the vulnerability of relying exclusively on Middle Eastern oil and has highlighted the pressing need for:
✅ Diversification of Supply Sources: Seeking alternative suppliers beyond the Middle East to reduce dependence and vulnerability.
✅ Investment in Strategic Reserves: Expanding national storage capacity to create a buffer against global supply disruptions.
✅ Modernization of Refineries: Investing in upgrading refineries to process a wider range of crude oil blends.
✅ Renewable Energy Development: Accelerating investments in solar, wind, and other sustainable energy sources to reduce long‑term reliance on imported oil.
✅ Improved Regional Cooperation: Engaging with neighboring countries to develop joint strategies for energy security and crisis management. maintain
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Conclusion
As tensions between Israel and Iran intensify, Pakistan finds itself at a critical juncture. The federal government, OGRA, PSO, and PNSC have acted quickly to mitigate immediate threats by ordering the import of an additional 140 million litres of petrol and expediting the arrival of an earlier shipment. maintain
Although these measures are vital for short‑term stability, long‑term energy security will require deeper reforms, improved crisis preparedness, and a shift towards more diversified and sustainable energy policies. The establishment of a high‑level petroleum monitoring committee and ongoing engagement with international suppliers are important first steps. maintain
With rising global oil prices and the looming threat of supply disruption in the Middle East, the coming weeks and months will test the resilience of Pakistan’s energy sector — and its ability to adapt in an increasingly volatile global environment. maintain
Assembly’s Standing Committee on Finance, Finance Secretary Imdadullah Bosal stated clearly, “Pakistan has enough petroleum reserves for now, but if global prices continue to climb, local prices will have to be adjusted accordingly.”
He further stated that any substantial rise in international oil prices — following the ongoing Israel‑Iran conflict — will inevitably affect the price of petroleum products within Pakistan. “We’re keeping a close watch. But if rates go up internationally, we’ll have to increase ours too. The levy is staying in place for the time being,” said the Finance Secretary.
Parliamentary Debate and Political Unity
Opposition Leader Omar Ayub expressed serious concerns about the worsening global oil outlook. He warned that rising oil prices, combined with the ongoing conflict in the Middle East, could deepen Pakistan’s economic crisis. Ayub stated, “Pakistan is already caught in a domestic debt trap, and any further rise in oil prices will not only inflate the budget deficit but also widen the trade gap. We must be vigilant and prepared for the worst‑case scenario.” maintain
In a rare display of unity, Finance Minister Muhammad Aurangzeb echoed Ayub’s concerns. Aurangzeb confirmed that Prime Minister Shehbaz Sharif has constituted a high‑level National Petroleum Committee tasked with assessing global petroleum prices and ensuring the availability of adequate reserves in the country. maintain
The Impact of the Israel‑Iran Conflict on Global Oil Prices
The Israel‑Iran conflict has pushed the Middle East into a new and precarious chapter, with tensions reaching levels unseen in recent years. According to official state media, Israeli airstrikes have claimed the lives of at least 430 people in Iran, leaving roughly 3,500 injured. maintain
This escalation of hostilities has put significant pressure on global oil markets. The Middle East is the world’s largest oil‑producing and exporting region, and any disruption to its shipping routes has serious implications for oil‑dependent nations like Pakistan. maintain
Analysts warn that the crisis may deepen if the Strait of Hormuz — a critical channel for global oil trade — becomes a contested zone. Currently, about 20% of the world’s oil supply passes through this vital waterway.
Challenges in the Strait of Hormuz
According to sources within the Pakistan National Shipping Corporation (PNSC), shipping companies have already started grappling with rising operational challenges. Freight rates for oil tankers have increased sharply — by as much as 15% — due to growing fears of instability and potential conflict in the region.
A shipment that cost roughly $900,000 per trip prior to the crisis now costs between $1.1 million and $1.2 million per trip. Insurance premiums for oil tankers have also surged sharply, rising from approximately $15,000 per voyage to maintain
PNSC sources confirmed that one vessel experienced a two‑hour delay while entering the strait due to temporary GPS disruptions — a growing concern for shipping lines relying on precision navigation equipment. Such delays, combined with rising insurance and freight charges, are adding significant strain to global supply chains and placing pressure on nations like Pakistan that depend heavily on imported oil. maintain
Preparing for Supply Disruption
Pakistan has long been reliant on oil imports from the Middle East, making it highly susceptible to fluctuations in global markets caused by geopolitical tensions. The federal government, in consultation with OGRA, has activated contingency measures aimed at offsetting the immediate threat posed by the Israel‑Iran conflict. maintain
With the global oil market now grappling with rising prices and limited available supplies, Pakistani authorities have taken proactive steps to protect the national fuel supply. The early ordering and import of 140 million litres of petrol, combined with the rescheduling of the earlier shipment, aims to ensure uninterrupted availability across the country. maintain
Rising Costs and the Risk of Inflation
While authorities have acted quickly, there are growing concerns about the longer‑term economic impact of rising global oil prices. The increased cost of oil tanker shipments, rising insurance premiums, and delays caused by the crisis could further raise the cost of petroleum products for Pakistani consumers. This, in turn, threatens to exacerbate the already high levels of inflation. maintain
According to an official statement from the Ministry of Finance, if global oil prices rise beyond a certain threshold — as a result of the Middle Eastern crisis — Pakistan will be forced to adjust domestic pricing accordingly.
Assembly’s Standing Committee on Finance, Finance Secretary Imdadullah Bosal stated clearly, “Pakistan has enough petroleum reserves for now, but if global prices continue to climb, local prices will have to be adjusted accordingly.”
He further stated that any substantial rise in international oil prices — following the ongoing Israel‑Iran conflict — will inevitably affect the price of petroleum products within Pakistan. “We’re keeping a close watch. But if rates go up internationally, we’ll have to increase ours too. The levy is staying in place for the time being,” said the Finance Secretary.
Parliamentary Debate and Political Unity
Opposition Leader Omar Ayub expressed serious concerns about the worsening global oil outlook. He warned that rising oil prices, combined with the ongoing conflict in the Middle East, could deepen Pakistan’s economic crisis. Ayub stated, “Pakistan is already caught in a domestic debt trap, and any further rise in oil prices will not only inflate the budget deficit but also widen the trade gap. We must be vigilant and prepared for the worst‑case scenario.” maintain
In a rare display of unity, Finance Minister Muhammad Aurangzeb echoed Ayub’s concerns. Aurangzeb confirmed that Prime Minister Shehbaz Sharif has constituted a high‑level National Petroleum Committee tasked with assessing global petroleum prices and ensuring the availability of adequate reserves in the country. maintain
The Impact of the Israel‑Iran Conflict on Global Oil Prices
The Israel‑Iran conflict has pushed the Middle East into a new and precarious chapter, with tensions reaching levels unseen in recent years. According to official state media, Israeli airstrikes have claimed the lives of at least 430 people in Iran, leaving roughly 3,500 injured. maintain
This escalation of hostilities has put significant pressure on global oil markets. The Middle East is the world’s largest oil‑producing and exporting region, and any disruption to its shipping routes has serious implications for oil‑dependent nations like Pakistan. maintain
Analysts warn that the crisis may deepen if the Strait of Hormuz — a critical channel for global oil trade — becomes a contested zone. Currently, about 20% of the world’s oil supply passes through this vital waterway. maintain
Challenges in the Strait of Hormuz
According to sources within the Pakistan National Shipping Corporation (PNSC), shipping companies have already started grappling with rising operational challenges. Freight rates for oil tankers have increased sharply — by as much as 15% — due to growing fears of instability and potential conflict in the region. maintain
A shipment that cost roughly $900,000 per trip prior to the crisis now costs between $1.1 million and $1.2 million per trip. Insurance premiums for oil tankers have also surged sharply, rising from approximately $15,000 per voyage to $22,000.
PNSC sources confirmed that one vessel experienced a two‑hour delay while entering the strait due to temporary GPS disruptions — a growing concern for shipping lines relying on precision navigation equipment. Such delays, combined with rising insurance and freight charges, are adding significant strain to global supply chains and placing pressure on nations like Pakistan that depend heavily on imported oil. maintain
Preparing for Supply Disruption
Pakistan has long been reliant on oil imports from the Middle East, making it highly susceptible to fluctuations in global markets caused by geopolitical tensions. The federal government, in consultation with OGRA, has activated contingency measures aimed at offsetting the immediate threat posed by the Israel‑Iran conflict. maintain
With the global oil market now grappling with rising prices and limited available supplies, Pakistani authorities have taken proactive steps to protect the national fuel supply. The early ordering and import of 140 million litres of petrol, combined with the rescheduling of the earlier shipment, aims to ensure uninterrupted availability across the country.
Rising Costs and the Risk of Inflation
While authorities have acted quickly, there are growing concerns about the longer‑term economic impact of rising global oil prices. The increased cost of oil tanker shipments, rising insurance premiums, and delays caused by the crisis could further raise the cost of petroleum products for Pakistani consumers. This, in turn, threatens to exacerbate the already high levels of inflation. maintain
According to an official statement from the Ministry of Finance, if global oil prices rise beyond a certain threshold — as a result of the Middle Eastern crisis — Pakistan will be forced to adjust domestic pricing accordingly.
Frequently Asked Questions (FAQs)
Q1. Why is the Israel‑Iran conflict affecting petrol prices in Pakistan?
A1. The Middle East is a major oil‑producing region. Conflict in this area threatens global oil supply lines, causing price increases and higher transportation costs. maintain
Q2. Will petrol prices rise in Pakistan?
A2. According to official statements, petrol prices in Pakistan may rise if global oil prices continue to climb due to the crisis.
Q3. What steps is the government taking?
A3. The government has ordered the immediate import of 140 million litres of petrol, expedited an early shipment, and set up a high‑level Petroleum Committee to monitor global pricing and reserves.
Q4. Will Pakistan run out of petrol?
A4. No. The government has announced a 20‑day fuel reserve requirement and is working to secure long‑term supplies.
Q5. What long‑term measures can Pakistan adopt?
A5. The government is focusing on diversifying suppliers, expanding storage capacity, upgrading refineries, and investing in renewable energy to reduce reliance on Middle Eastern oil.
