The federal government has reduced the price of petrol by Rs3.63 per litre while increasing the rate of High-Speed Diesel (HSD) by Re0.31 per litre, according to a Petroleum Division notification.
Under the revised rates, petrol will be available at Rs390.23 per litre, while HSD will cost Rs396.96 per litre. The new prices took effect on Friday, October 16.
The government continues to charge Rs114 per litre in taxes and duties on petrol and Rs100 per litre on diesel.
Diesel prices have fallen from a record Rs520.35 per litre on April 3, after climbing from Rs281 per litre following the outbreak of the US-Iran war on February 28.
Petrol had also reached the peak of Rs458.41 per litre on April 3, having risen from Rs266 in the first week of March.
The latest revision comes as the government maintains austerity measures aimed at conserving fuel amid the ongoing conflict in the Middle East. Under the measures, markets must close by 9pm, while fuel allocations for official vehicles have been reduced by 50 percent for three months.
On September 13, Prime Minister (PM) Shehbaz Sharif announced a relief scheme for motorcycles, rickshaws and vehicles with engine capacities of up to 800cc to ease the impact of rising international oil prices.
Petrol is widely used in private cars, small vehicles, rickshaws and motorcycles, making price changes particularly significant for middle- and lower-middle-income households.
Diesel prices, meanwhile, affect transport costs and other sectors because HSD is primarily used by heavy vehicles, power plants and large generators.
Petrol and HSD remain the government’s main petroleum revenue sources, with monthly sales of around 700,000 to 800,000 tonnes each, compared with monthly kerosene demand of about 10,000 tonnes.
