The prices of petroleum products in Pakistan are expected to witness an increase of up to Rs5 per litre, as per a preliminary working paper prepared by relevant authorities ahead of the fortnightly price review.
According to official sources, the working paper has proposed an upward revision in fuel prices effective from June 16. Petrol prices are expected to rise by Rs1.12 per litre, while high-speed diesel may see a more significant hike of Rs5.27 per litre. A recommendation has also been made to increase the price of kerosene oil by Rs4.13 per litre.
The final decision will be made by the Ministry of Finance after consultation with Prime Minister Shehbaz Sharif. The review is being carried out in light of recommendations from the Oil and Gas Regulatory Authority (OGRA), in line with international market fluctuations and domestic tax adjustments.
Current petrol and diesel prices in Pakistan
Earlier this month, the government had marginally increased the petrol price by Re1 per litre, effective from June 1, taking the rate from Rs252.63 to Rs253.63 per litre. The price of high-speed diesel was kept unchanged at Rs254.64 per litre.
The Ministry of Finance, in its official statement, attributed the revision to movements in the global oil market and currency exchange fluctuations, reaffirming that adjustments are made fortnightly based on OGRA’s input.
Impact on consumers
Although the proposed Rs1.12 increase in petrol is relatively minor, the Rs5.27 hike in diesel is likely to have broader economic repercussions. Diesel is widely used in the transport and agriculture sectors, and any increase in its price could lead to higher logistics and commodity costs.
Commuters and daily wage earners are already under pressure from inflation and rising utility tariffs. An additional hike in fuel prices may further erode purchasing power and raise operational costs for businesses relying on road transportation.
