NA Committee Advances Petroleum Bill 2025 with Key Amendments

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The National Assembly’s Standing Committee on Petroleum Division reviewed the Petroleum (Amendment) Bill, 2025, on Friday, recommending its passage with amendments to curb fuel smuggling and enhance transparency.

On August 8, 2025, the Standing Committee on Petroleum Division of the National Assembly, chaired by Syed Mustafa Mehmood, convened in Islamabad to thoroughly examine the Petroleum (Amendment) Bill, 2025. The bill, introduced by Petroleum Minister Ali Pervaiz Malik on May 12, 2025, aims to modernize the Petroleum Act of 1934 by introducing digital tracking systems to combat smuggling and adulteration, which cost Pakistan an estimated 300–500 billion Pakistani Rupees (PKR) annually, according to Pakistan Today. The committee, after detailed discussions, endorsed the bill’s passage with amendments, as reported by Business Recorder.

Due to Mehmood’s absence abroad, the committee unanimously elected Syed Naveed Qamar to preside over the session under Rule 216 of the Rules of Procedure and Conduct of Business in the National Assembly, 2007. Qamar led the review, incorporating a sub-committee’s recommendations, which he chairs, focusing on optimizing Corporate Social Responsibility (CSR) funds, production bonuses, and training funds for local communities. The sub-committee, including members Asad Alam Niazi, Muhammad Moin Aamer Pirzada, and Gul Asghar Khan, proposed guidelines to ensure transparency and community benefits, which the main committee adopted for submission to the Petroleum Division, per Business Recorder.

The bill introduces real-time tracking of petroleum products, including Liquefied Petroleum Gas (LPG), from import to retail, empowering authorities to seize illegal fuel, vehicles, and equipment. Penalties include fines up to 100 million PKR for smuggling and 10 million PKR for unlicensed operations, as outlined by Nukta. A 2024 intelligence report highlighted 10 million liters of smuggled Iranian fuel entering Pakistan daily, causing over 227 billion PKR in losses, underscoring the bill’s urgency, according to Energy Update.

Attendees included National Assembly members Anwarul Haq Chaudhary, Shaista Khan, Salahuddin Junejo, Shahid Ahmad, and Shazia Marri, alongside senior officials like Momin Agha, Secretary of the Petroleum Division, and Mahfooz Bhatti, Additional Secretary of the Power Division. The committee’s recommendations aim to strengthen enforcement and protect Pakistan’s economy, with the bill now advancing to the National Assembly for final approval.