PSO cancels supply to Pakistan Railways


No end appears in sight to the Pakistan Railway (PR) crises after Pakistan State Oil (PSO) cancelled diesel supply to PR again on Wednesday after a Rs 300 million check given to PSO bounced.
According to PR officials, the ministry of finance has refused to release the Rs 2 billion installment before September 25. PR administration said that 50 percent trains were being operated due to the severe crisis and if diesel supply was not restored, more trains would be shut.
PR General Manager Saeed Akhter told Pakistan Today that the Ministry of Finance had not provided the bailout package despite one month passing since its announcement. He also said PR was acting against black sheep in department and was sending them on forced leave. However, he refused to comment on why the check bounced.
Sources reveal PR is currently defaulter for over Rs 3 billion. PR owes PSO Rs 120 million, PEPCO Rs 600 million, staff Rs 250 million and the Federal Board of Revenue (FBR) Rs 1 billion.
PR is operating 90 trains instead of 240 trains operated in routine.