ISLAMABAD ( The COW News Digital) The federal government is expected to announce new petroleum product prices today, with sources indicating a slight increase in petrol rates but a significant reduction in high-speed diesel (HSD) prices.
According to officials familiar with the matter, petrol prices are likely to go up by PKR 1.40 per liter, while HSD prices could drop by as much as PKR 11.50 per liter for the next fortnight starting August 16.
The expected price adjustments come amid fluctuations in global oil markets. Over the past two weeks, international petrol prices saw a modest rise of just $0.15 per barrel, while HSD prices recorded a substantial decline of around $4.50 per barrel.
The government’s anticipated decision reflects these global trends, though analysts warn that any increase in petrol prices will still add to the financial burden on consumers already facing high inflation. Petrol is widely used in private transport and small commercial vehicles, meaning even a modest hike affects commuting costs and retail prices of goods.
In contrast, the projected cut in diesel prices could offer some relief to the agriculture, goods transport, and industrial sectors, where diesel is the primary fuel. A significant drop in diesel rates can help ease transport costs for goods and lower the production costs in key industries.
Sources within the petroleum ministry noted that the Oil and Gas Regulatory Authority (OGRA) had submitted its summary based on the latest import costs, exchange rate impact, and international price trends. The final decision will be announced by the Ministry of Finance later today.
Historically, petrol prices in Pakistan are adjusted every 15 days based on global market rates, the rupee-dollar exchange rate, and domestic taxation policies. Any variation in these factors directly influences the retail rates at fuel stations.
Market watchers say the government might use the opportunity of lower diesel prices to slightly raise petrol rates without triggering a strong public backlash, especially since diesel’s reduction could offset some inflationary effects in goods transport.
The revised prices will take effect from midnight, impacting millions of consumers nationwide. Transporters and industry leaders are closely monitoring the announcement to plan operational costs for the coming weeks.
