Pakistan State Oil has been declared defaulter by the world market due to delay in payments under the LC head. World market imposes heavy fines on Pakistan State Oil, threaten to suspend oil supplies. PSO needs Rs 30 billion for making the payments in two days. It must be remembered that PSO owes Rs 145 billion to various organisations and Rs 128 million to local refineries. Supply of petroleum products to Pakistan can be suspended for one month, in case payments are not made in two days. Energy crisis in Pakistan can worsen as a consequence of the suspension of oil product’s supply.
