ISLAMABAD: Prime Minister Shehbaz Sharif has directed petroleum distribution companies to sell fuel at government-appointed rates, his office said on Monday, as Islamabad attempts to curb hoarding while the Middle East conflict intensifies.
Global oil markets have been rattled since the US and Israel attacked Iran last month, prompting Tehran to retaliate by attacking US interests in the Gulf and virtually closing the Strait of Hormuz. Global oil prices have surged worldwide as the conflict disrupts key energy shipping routes.
While Pakistan has announced austerity measures to curb fuel consumption, it has also said the country has an adequate stock of petroleum products. The government has also warned it would take stern action against those found hoarding petroleum products.
Sharif chaired a review meeting in Islamabad to assess measures aimed at ensuring economic stability and providing relief to citizens in light of the Middle East war, the Prime Minister’s Office (PMO) said in a statement.
“The prime minister directed petroleum distribution companies to ensure the sale of fuel at government-determined rates and to maintain transparency in this process,” the PMO said.
He credited the government for taking timely measures to ensure the country had an adequate supply of petroleum products.
Sharif announced austerity measures earlier this month, which included the closure of schools and shifting classes of higher education institutions online. The government announced a four-day working week and announced cuts in its expenditures.
The PMO said Islamabad has issued instructions to conduct third-party audits to ensure the ongoing austerity and conservation measures are being implemented.
“The prime minister stated that economic stability and public relief remain the government’s top priorities,” the statement said.
Pakistan fears prolonged disruption to the Strait of Hormuz, where 20 percent of the world’s oil and gas supplies pass, could threaten its stock of energy supplies, raise shipping costs and trigger a balance of payments crisis for the economy.
Islamabad has called on all parties to de-escalate tensions in the Middle East and resolve disputes through dialogue and diplomacy.
