It said since the government was considering raising dealers commission, there was no cause of agitation.
"All petrol pumps are operating normally across the country. FAIPT has not given any call for closure," the association general secretary Ajay Bansal said.
The Confederation of Indian Petroleum Dealers, which some months back broke ranks from FAIPT headed by Ashok Badhwar, had stated that dealers were in "deep financial trouble" because of increased operational costs and are "left with no option but to cut the cost of operations".
"With our backs to the wall, it was resolved that the retail outlets will operate single shift from October 15 to cut costs on manpower and electricity as acute austerity measures," said CIPD, whose members are mostly in Maharashtra and Gujarat.
FAIPT said there was "no truth" that petrol pumps would be shut at 5 pm.
"Petrol pumps all over the country shall be operating normally," Bansal said.
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"The Ministry of Petroleum and Natural Gas has already written to the oil marketing companies to address the issues and demands of the dealers within a period of 15 days and as such there is no reason or occasion for members of FAIPT to resort to any agitational approach."
FAIPT said dealers commission on petrol needs to be raised from Rs 1.49 per litre on petrol currently to Rs 2.16 a litre and that on diesel from Rs 0.91 to Rs 1.32 per litre, as per a cost analysis done on an all India basis.