Tech Desk 
Aug 15, 2025
In a landmark move to curb malpractices and ensure transparency in the petroleum sector, the Prime Minister Shehbaz Sharif-led government is poised to introduce a cutting-edge real-time digital tracking system for petroleum products.
Notably, the initiative, backed by the recently passed Petroleum (Amendment) Act 2025, aims to monitor every litre of fuel from import and production to storage, transport, and final sale.
The National Assembly approved the amendment on Wednesday, empowering authorities to deploy IT-based systems for continuous monitoring of petroleum products.
Officials are now authorised to seize smuggled or illegally stored fuel and related infrastructure, both before and after conviction.
The Oil and Gas Regulatory Authority (OGRA), in partnership with market stakeholders, has been working on the technical aspects of the system to ensure a smooth launch.
It is worth noting that the tracking system will cover petrol stations, transportation routes, and designated storage facilities, providing end-to-end visibility of the petroleum supply chain.
On the other hand, for facilities with expired or cancelled storage licenses, a six-month grace period has been granted for renewal or restoration.
Failure to comply will result in the sealing of the facility, confiscation of assets, and a fine of Rs. 1 million. The Department of Explosives is required to process license renewals within 30 days of receiving complete documentation and payment.
Moreover, vehicles involved in smuggling activities will be confiscated under the Customs Act 1969, with seized goods handed over to customs officers for further action.
Meanwhile, Aggrieved parties will have the right to appeal to the High Court within 30 days of a decision.
With this digital system, the federal government aims to bolster monitoring and surveillance, effectively combating illegal activities and enhancing accountability across the supply chain.
