The Economic Coordination Committee (ECC) of the Cabinet on Tuesday approved revising the profit margins of oil marketing companies (OMCs) and petroleum dealers on petrol and high-speed diesel. The meeting was chaired by Finance Minister Senator Muhammad Aurangzeb. The adjustments, linked to the National CPI for 2023–24 and 2024–25, have been capped between 5% and 10%. The ECC decided that half of the approved increase will be implemented immediately, while the remaining half will depend on digitisation progress, with the Petroleum Division to report back by June 1, 2026. According to sources, the margin for OMCs on petrol has been increased by Rs1.22 per litre, while the dealers’ commission has risen by Rs1.34 per litre. The same increases apply to high-speed diesel. New vehicle-import scheme The ECC endorsed amendments to the vehicle import procedure, retaining only the transfer-of-residence and gift schemes. Under the revised framework, commercial-import safety and environmental standards will apply, the allowable import gap has been extended from two to three years, and imported vehicles will remain non-transferable for one year. Restrictions on chloroform imports The ECC also approved restrictions on imports of Trichloromethane (chloroform) due to its carcinogenic and toxic properties. Going forward, chloroform may only be imported by pharmaceutical companies and only with a DRAP-issued NOC. On a summary submitted by M/s Ghani Glass seeking a concessionary gas/RLNG tariff, the committee ruled the request untenable, noting that such subsidies are no longer allowed and that broader export-support measures are already underway. Power sector and circular debt The committee reviewed the Circular Debt Management Plan for FY 2025–26 presented by the Power Division. The ECC directed the Power and Finance Divisions to prepare a medium-term strategy aimed at gradually reducing fiscal support. It also instructed the Power Division to establish a monitoring mechanism with distribution companies to ensure compliance with targets committed to the government. Technical grants and institutional reforms The ECC approved a technical supplementary grant of Rs1.28 billion for the Pakistan Digital Authority (PDA) to support digital transformation across government departments. It also authorised additional development funds for the Cabinet Division for FY26, as proposed by the Interior and Narcotics Control Division. In addition, the committee approved allocating Rs5 billion to the Housing and Works Division through a technical supplementary grant for the current fiscal year. On a summary by the Ministry of National Food Security and Research, the ECC endorsed the creation of a special-purpose company to wind up Passco and settle its outstanding liabilities. It authorised the company’s incorporation, administrative and financial arrangements, and necessary regulatory exemptions, along with appointing initial subscribers and interim management. The company will be dissolved once its mandate is fulfilled. Additionally, the committee accorded in-principle approval for the release of budgetary allocation for PIA Holding Company Ltd (PIAHCL) to meet pension and medical related expenses of the PIACL employees. The meeting was attended by Minister for Petroleum Ali Pervaiz Malik, Minister for Power Sardar Awais Ahmad Khan Leghari, Minister for Investment Board Qaiser Ahmed Sheikh, along with federal secretaries and senior officials from the concerned ministries, divisions and regulatory bodies.
ECC okays increase in profit margins for petroleum dealers and OMCs
