Pakistan Fuel Quota System: ICMAP Raises Concerns & Proposes Improvements

KARACHI: The Institute of Cost and Management Accountants of Pakistan (ICMAP) has raised concerns regarding operational and administrative challenges associated with the government’s planned mobile-app-based fuel quota system for motorcycles and rickshaws, with potential expansion to small cars up to 800cc. The ICMAP outlined these issues on Thursday, April 2, 2026, according to reports from Dawn and Pakistan Today.

The institute highlighted the significant logistical preparations required, including equipping petrol pumps with necessary devices, ensuring reliable connectivity in both urban and rural areas, and training staff nationwide. Managing fuel quotas for millions of vehicles, processing exemption applications, and responding to emergency situations will also create a substantial administrative burden for implementing agencies.

ICMAP warned of potential issues such as duplicate registrations, inaccurate data entry, and misuse of quotas across different regions if strong verification systems are not implemented. According to Dawn, the institute emphasized the need for robust verification to prevent these problems.

Expanding Access Beyond Mobile Apps

To ensure inclusivity, ICMAP recommended that the fuel quota system not rely solely on a mobile application. The institute suggested incorporating unstructured supplementary service data (USSD) and SMS-based facilities to allow individuals without smartphones or internet access to check their quotas and generate vouchers. This recommendation aims to broaden access to the subsidy program, as reported by Pakistan Today.

ICMAP also proposed district-level registration campaigns, coordinated with the National Data Registration Authority, excise departments, and local administrations, to verify vehicle records and ensure eligible citizens are included in the program.

Recommendations for System Improvement

The institute further proposed allowing unused fuel quotas to be carried forward for a limited period, providing riders with flexibility in managing their fuel consumption. ICMAP also suggested a tiered quota structure, allocating fuel based on user needs. Essential service riders and delivery workers could receive higher allocations, commercial operators like rickshaw drivers a separate category, daily commuters a standard allocation, and occasional users a lower baseline quota.

Centralised real-time monitoring systems are crucial, according to ICMAP, to track subsidised fuel distribution across petrol stations and quickly identify irregularities. Clear and audited emergency override procedures should be established for situations like medical emergencies or natural disasters. Linking quotas to the vehicle’s registered district would help prevent cross-regional misuse.

ICMAP stressed the importance of extensive awareness campaigns regarding registration procedures and voucher usage, alongside accessible complaint and support channels, including hotlines and in-app assistance, with defined response timelines.

Phased Rollout Proposed

To ensure a smooth implementation, ICMAP recommended a phased rollout: a three-month pilot phase in selected districts, followed by expansion to major urban areas and transport corridors over six months, and ultimately nationwide coverage within a year. Regular quarterly reviews should assess system performance and fuel demand, according to Dawn.

The ICMA, as reported by The News, welcomed the targeted fuel subsidy plan, concluding that with proper design and execution, it could shield low-income groups from price shocks, improve subsidy efficiency, and allow the government to redirect fiscal resources to priority sectors like education, healthcare, and economic development.