The United Business Group (UBG) of FPCCI on Saturday demanded of the government to immediately pass on benefit of the receding oil prices in international market which will provide relief to masses and the business community.
Oil prices had been on the decline due to global oversupply and sluggish demand, but domestic oil prices did not show any substantial drop, it said
Prices of petrol and diesel should be slashed by Rs 10 while kerosene oil price must be reduced by Rs 15 per litre as it was used by poor people for lighting and cooking, said UBG Chairman Iftikhar Ali Malik and Central Spokesman Zubair Tufail.
In a statement issued on Saturday, they said that reduction in POL prices would benefit millions of people using public transport besides benefiting every sphere of the economy.
Since petrol and diesel meet 85pc of the fuel requirement in domestic transportation, lower product prices may create additional demand for automobiles. Reduced prices will also discourage the use of coal which is most polluted form of fuel which will have an impact on the environment.
Iftikhar Ali Malik said that government should deregulate petroleum market to improve quality of fuel and safeguard interests of consumers. Presently, roughly 40 per cent of the lubricant market was captured by the fake and substandard items which translated into losses of billion for motorists and industrialists annually, he added.
Malik also demanded more attention to the pipeline projects as energy crisis was eating up 2 per cent of the GDP which was not bearable. Demand for fossil fuels will grow by 25 per cent by 2040 for which our policymakers should plan immediately, he said, adding that Thar had more energy than combined energy available in Saudi Arabia and Iran.
Moreover, Pakistan has more shale oil and gas reserves than all the energy reserves of central Asian states put together which, if exploited, would resolve all the economic problems faced by the country.
