Fuel rates rise for sixth consecutive day as petrol reaches Rs335.18, diesel hits Rs383.46

The federal government has increased the price of petrol and high-speed diesel (HSD) by Rs3.66 and Rs4.80 per litre on Friday following fluctuating global oil prices linked to renewed hostilities in the Middle East.

The price of petrol reached Rs335.18 per litre, while HSD rose to Rs383.46 per litre. The government collects Rs110 per litre in taxes and duties on petrol and Rs96 per litre on diesel.

A Petroleum Division notification confirmed that the new rates take effect on July 25.

HSD previously peaked at Rs520.35 on April 3 after beginning an upward climb from Rs281 per litre when the United States (US)-Iran war broke out on February 28. Petrol reached a peak of Rs458.41 on April 3, having started an upward trajectory from Rs266 during the first week of March.

Earlier, Petroleum Minister Ali Pervaiz Malik announced that fuel prices will now adjust on a daily basis due to international market fluctuations caused by the conflict between Iran and the US.

The government previously announced weekly fuel revisions starting in early March, alongside fuel conservation measures to address possible supply disruptions stemming from the Middle East conflict. The federal government also introduced targeted relief measures in April to offer subsidised fuel.

The petroleum minister stated, “The cabinet and the prime minister had decided to give the Oil and Gas Regulatory Authority (Ogra) the responsibility of deciding fuel prices on a daily basis based on international market trends.”

The All Pakistan Dealers Association rejected the daily pricing decision and indicated plans to consider a protest strategy within the week.

Petrol powers private transport, small vehicles, rickshaws, and two-wheelers, making price changes impactful for middle and lower-middle-income groups. Diesel impacts the general public through its widespread use in heavy transport, power plants, and large generators.

Petrol and HSD serve as primary revenue sources for the country, generating monthly sales between 700,000 and 800,000 tonnes, compared to monthly kerosene demand of 10,000 tonnes.