The federal government has reduced the price of petrol by Rs1.70 per litre and raised High-Speed Diesel (HSD) by Rs1.39 per litre on Tuesday.
The Petroleum Division issued a notification stating the rates take effect on August 12 (Wednesday). Petrol will retail at Rs325.92 per litre, while HSD will cost Rs382.25 per litre. The tax structure maintains levies of Rs114 per litre on petrol and Rs100 per litre on HSD.
Earlier, Petroleum Minister Ali Pervaiz Malik stated that fuel pricing will transition to a daily basis due to price shifts in the international market linked to conflict between Iran and the United States (US).
“The cabinet and the prime minister 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,” Malik stated.
The shift to daily pricing follows weekly price revisions that the government introduced in March, alongside fuel conservation measures during supply risks from Middle East conflict. The government also introduced targeted relief programs in April to supply subsidised fuel.
Fuel prices previously reached high figures earlier in the year. Petrol reached Rs458.41 on April 3 after rising from Rs266 in the first week of March. HSD peaked at Rs520.35 on April 3 after rising from Rs281 per litre when hostitilies started on February 28.
Private vehicles, rickshaws, and two-wheelers run on petrol, which affects middle and lower-middle income classes. HSD runs transport fleets, power plants, and generators, affecting the general population.
Petrol and HSD generate the primary share of petroleum revenues for the state, with monthly sales between 700,000 and 800,000 tonnes, compared to monthly kerosene demand of 10,000 tonnes.
