ISLAMABAD: The Cabinet committee, constituted by the Prime Minister to monitor petrol prices in light of the emerging regional situation, warned that war premium dynamics and intensified competition for energy cargoes — particularly in Asian markets — could increase pressure on the external account if volatility persists.Federal Minister for Finance and Revenue, Muhammad Aurangzeb, chaired the meeting here on Thursday to review developments in the energy sector and assess national preparedness measures.It was further decided that the Committee will finalize its recommendations by Friday (today) and submit them to the Prime Minister, together with a comprehensive implementation plan covering supply assurance, enforcement, pricing/governance mechanisms, and conservation measures, as appropriate.READ MORE: Govt says petroleum stocks comfortable amid regional uncertaintyThe Committee will continue to meet on a daily basis to monitor developments, review stock positions and supply chain movements, and ensure timely execution across all stakeholders.The Committee continued its deliberations on the evolving regional and global energy situation and undertook a detailed review of petroleum product stock positions across the country.Members were briefed that national reserves remain at comfortable levels, with sufficient cover available for key products, and that there is no immediate cause for concern regarding the availability of petroleum products.The Committee, however, noted that the situation remains fluid and uncertain, requiring sustained vigilance and prudent planning as global supply chains and shipping routes face heightened risk and cost pressures.A comprehensive briefing was also given on international oil market conditions, including movements in global benchmarks, freight and insurance costs, maritime and routing dynamics, and the risk of supply congestion at key chokepoints.The Committee reviewed multiple supply and pricing scenarios to ensure preparedness under different contingencies and to maintain stability in domestic energy supplies. In this context, the Committee noted that “war premium” dynamics and intensified competition for energy cargoes, particularly in Asian markets, could raise external account pressures if volatility persists.The Committee reviewed ongoing efforts to strengthen supply assurance through diversified sourcing and logistics arrangements.Updates were shared on diplomatic and commercial engagements being pursued with friendly countries and partner suppliers to secure additional crude and refined product volumes through alternate routes and ports, including options outside high-risk corridors.The Committee also considered shipping and operational measures to reduce time lags, including facilitation of timely berthing and the use of available national shipping capacity where feasible.To safeguard orderly market conditions, the Committee discussed measures to deter hoarding, illegal storage, and diversion, including coordinated enforcement actions by provincial administrations in close collaboration with OGRA and relevant agencies.The Committee emphasized that preventing outward smuggling and ensuring uninterrupted domestic distribution will remain a top operational priority, and that real-time field intelligence and strict action against violations will be maintained.In his remarks, the Finance Minister emphasized that the government’s foremost objective is to ensure uninterrupted availability of petroleum products across the country, and that availability will remain the primary driver of all policy and operational decisions.He stressed that the Government is managing the situation responsibly through a structured governance mechanism, with daily monitoring, scenario planning, and coordinated decision-making. He further noted that where international price movements create unavoidable pressures, the Government will respond through established and predictable mechanisms, with the aim of avoiding distortions and preserving market stability.The Committee also reviewed the LNG and LPG situation, including supply chain risks, shipment schedules, and terminal operations. Members discussed contingency options to manage demand efficiently if disruptions linger, while protecting priority sectors and maintaining orderly conditions.In line with broader preparedness planning, the Committee examined a phased menu of fuel conservation measures drawing on institutional protocols implemented during prior national emergencies to support demand management if needed, while carefully calibrating communications to avoid any perception of undue alarm.The meeting was attended by Federal Minister for Petroleum Ali Pervaiz Malik, Federal Minister for National Food Security and Research Rana Tanveer Hussain, Federal Minister for Commerce Jam Kamal Khan, Federal Minister for Information and Broadcasting Attaullah Tarar (virtually), Minister of State for Finance Bilal Azhar Kayani, Governor State Bank of Pakistan Jameel Ahmad along with federal secretaries, Chief Secretaries and Senior Secretaries of all Provinces, and senior officials from the concerned ministries, divisions and regulatory bodies.Copyright Business Recorder, 2026
