The federal government has reduced the price of petrol by Rs0.66 per litre but raised the rate of High-Speed Diesel (HSD) by Rs0.52 per litre, setting the new prices at Rs398.30 and Rs396.24 per litre, respectively.
According to a Petroleum Division notification, the revised rates will remain in effect from October 10 to October 12. The government continues to charge Rs114 per litre in taxes and duties on petrol and Rs100 per litre on diesel.
Despite the latest adjustment, both fuels remain below the peaks they reached on April 3, when HSD climbed to Rs520.35 per litre and petrol reached Rs458.41 per litre.
HSD had started rising from Rs281 per litre after the US-Iran war broke out on February 28. Petrol also began an upward trend in the first week of March, when its price stood at Rs266 per litre.
Meanwhile, the government has reinstated austerity measures to conserve fuel amid rising prices and the ongoing conflict in the Middle East. The measures require markets to close by 9pm and cut fuel allocations for official vehicles by 50 percent for three months.
On September 13, Prime Minister (PM) Shehbaz Sharif announced a relief scheme for motorcycle users, auto owners and people using vehicles with engines of up to 800cc to “alleviate the burden” of rising global oil prices.
Petrol remains a key fuel for private transport, small vehicles, rickshaws and motorcycles, making price changes particularly relevant to middle- and lower-middle-income households.
HSD, meanwhile, is widely used in heavy transport, power plants and large generators, meaning changes in its price affect transport and other sectors.
Petrol and HSD also account for the bulk of fuel sales and government revenue from petroleum products. Their monthly sales stand at around 700,000 to 800,000 tonnes, compared with monthly kerosene demand of about 10,000 tonnes.
