Following the latest revision, petrol will be available at Rs349 per litre, while the price of high-speed diesel (HSD) has been set at Rs374.31 per litre. The government continues to impose Rs114 per litre in taxes and duties on petrol and Rs100 per litre on diesel.
According to a notification issued by the Petroleum Division, the revised prices will take effect from Friday, September 4.
The latest HSD price remains significantly below its record high of Rs520.35 per litre, reached on April 3. Diesel prices had climbed from Rs281 per litre after the US-Iran conflict began on February 28, pushing international oil prices higher.
Petrol prices also reached a peak of Rs458.41 per litre on April 3, after rising from Rs266 per litre during the first week of March.
In July, Petroleum Minister Ali Pervaiz Malik announced that fuel prices would be reviewed and fixed on a daily basis, citing volatility in international oil markets amid renewed tensions between Iran and the United States.
Previously, the government had revised petroleum prices on a weekly basis since early March while introducing fuel conservation measures amid concerns over potential disruptions to global oil supplies due to the conflict in the Middle East.
The federal government had also announced targeted relief measures in April to provide subsidised fuel to eligible segments.
The petroleum minister said the federal cabinet and prime minister had assigned the Oil and Gas Regulatory Authority (Ogra) responsibility for determining fuel prices daily in line with international market trends.
Petrol is primarily consumed by private vehicles, small transport vehicles, rickshaws and motorcycles. Changes in petrol prices therefore have a direct impact on middle- and lower-middle-income households.
Meanwhile, diesel is widely used by the heavy transport sector, power plants and large generators, making changes in its price significant for transportation and overall economic activity.
Petrol and HSD remain the government’s major petroleum revenue sources, with monthly sales estimated at 700,000 to 800,000 tonnes, compared with around 10,000 tonnes of monthly kerosene demand.
