Oil Marketing Companies Refuse Govt. Proposal to Introduce High-Quality Diesel
Oil Marketing Companies have turned down Ministry of Petroleum’s proposal of Euro I Euro IV diesel standard in Pakistan. According to them, the proposal is not feasible to implement, keeping in view the cost-benefit analysis of importing the fuel will not be viable.
Furthermore, the government also suggested Oil refineries upgrade their existing plant to meet international standards of fuel. Oil Marketing Companies Advisory Council (OCAC) is not even considering to implement any proposal received from Petroleum Ministry in improving Cetane.
According to OCAC, the up gradation of diesel from Euro I to Euro V took Europe 16 years to implement it. Furthermore, it is very difficult for refineries to adapt and change the complete infrastructure in a short span of time. However, in Europe, they have improved their standards in accordance with their refineries capacity to improve.
Introduction of RON 92 Petrol in Pakistan:
Earlier Ministry of Petroleum has instructed all OMC’s to improve the RON (Research Octane Number) from 87 to 92 in Petrol. In addition to this, they have also improved Hi Octane rating from 92 to 95. All OMC’s including Shell, PSO, and Total has launched upgraded petrol in Pakistan. It is worth mentioning here that all world’s leading OEM’s have refused to invest in Pakistan due to low-grade fuel.
The introduction of new RON in Pakistan has opened the doors of leading car manufacturers to invest in Pakistan. Some of them have taken interest including Nissan & Renault, a leading car manufacturer in the world.