The federal government has decided in principle to introduce weekly petroleum pricing starting March 8 to reflect additional costs, including insurance, freight and war premiums, while reviving measures from the COVID-19 period to reduce fuel consumption. 

 

These measures, which include work-from-home arrangements, online classes and car-pooling, are aimed at minimising financial and foreign exchange pressures. 

 

The plan was finalised at a meeting of the cabinet committee to monitor petrol prices in the wake of the emerging situation in the region, convened by Prime Minister (PM) Shehbaz Sharif. 

 

The meeting included provincial and regional governments and was held amid ongoing conflict involving the United States (US), Israel and Iran, which has disrupted supply chains, including shipping through the Strait of Hormuz.

 

The committee’s recommendations will be submitted to the premier on Friday for review, and once cleared, will be forwarded to the Economic Coordination Committee (ECC) for formal approval. 

 

Reports quoted sources as saying that meetings of the committee, the premier and the ECC have been scheduled consecutively due to the urgency of the situation. Officials also confirmed that the International Monetary Fund (IMF) has been briefed on contingency measures.

 

Earlier, at the meeting presided over by Finance Minister Muhammad Aurangzeb, officials noted that Pakistan had faced a comparable situation during the COVID-19 crisis when the country dealt with significant financial and foreign exchange challenges.

 

“Barring health-related precautions, most of the austerity measures adopted at that time would be revived from next week to save fuel, energy and foreign exchange, while prioritising key sectors,” a statement said.

 

The committee also reviewed energy sector developments, national preparedness and petroleum product stock levels.

 

Officials said that national reserves were at a comfortable level with sufficient cover for key products, but noted that global supply chains remain under pressure.

 

The meeting also included an assessment of international oil market conditions, including freight, insurance and potential congestion at key maritime chokepoints. 

 

Efforts to strengthen supply assurance were reviewed, including diversification of sourcing and logistics. Diplomatic and commercial engagements with friendly countries and suppliers were highlighted as part of securing additional crude and refined products through alternative routes and ports.

 

Measures to prevent hoarding and illegal storage were also discussed, with coordination between provincial administrations and the Oil and Gas Regulatory Authority (OGRA).

 

Separately, provincial governments were instructed to conduct physical inspections of retail petrol stations through deputy commissioners to prevent hoarding and profiteering.