Fuel Shortage Feared After Sindh Infrastructure Cess Delay

(@Abdulla99267510)

Fuel shortage feared after Sindh infrastructure cess delay

OCAC warns CM that customs clearance delays at Karachi Port due to Sindh Infrastructure Cess could disrupt nationwide fuel supply.

KARACHI: (UrduPoint/UrduPoint / Pakistan Point News-Oct,20, 2025) The Sindh government’s implementation of the Sindh Infrastructure Development Cess has caused delays in the clearance of petroleum products at Karachi Port, raising fears of a nationwide fuel shortage.

According to Express news, the Oil Companies Advisory Council (OCAC) has written an urgent letter to the Chief Minister of Sindh, warning that several petroleum cargoes are awaiting customs clearance. The council stated that vessels MT islam 2 and MT Hanifa, carrying Pakistan State Oil (PSO) cargo, are anchored at berths awaiting clearance, while oil stocks at Keamari are running critically low.

OCAC emphasized that immediate customs clearance of these vessels is essential to maintain the fuel supply chain across the country. It added that Wafi Energy’s petroleum cargo and PARCO’s crude shipment, scheduled for October 21, also face potential delays if clearance is not granted soon.

The council further warned that the imposition of the 1.8% cess could increase fuel costs by more than Rs3 per litre, ultimately burdening consumers. The measure also poses serious financial and operational risks to the downstream petroleum industry.

With the ongoing agricultural season, OCAC cautioned that any disruption in fuel supply could have severe consequences nationwide, and it may take up to two weeks to restore normal operations if the issue escalates.

Abdullah Hussain

Abdullah Hussain is a staff member who writes on politics, human rights, social issues and climate change.