Federal Minister for Petroleum Ali Pervaiz Malik has indicated that the government plans to deregulate petroleum product prices in the future, while revealing that consumers currently pay a levy of around Rs80 per litre on petrol and Rs70 per litre on diesel.
He shared the details while briefing the National Assembly Standing Committee on Petroleum, chaired by Syed Mustafa Mahmood.
Ali Pervaiz Malik told lawmakers that the government intends to move towards deregulating petroleum prices as part of broader reforms in the energy sector.
He said the refinery upgradation policy has already been sent to the federal cabinet and aims to help Pakistan transition to Euro-5 standard fuel.
Petrol, diesel levies highlighted
During the meeting, committee members questioned the continued increase in the petroleum levy.
The minister said the government currently collects around Rs80 per litre on petrol and Rs70 per litre on diesel through the levy.
High import dependence keeps prices elevated
Malik said Pakistan imports nearly 70% of its petrol, adding that lower international crude oil prices do not necessarily translate into cheaper petrol and diesel because finished petroleum products remain expensive.
He also attributed high fuel costs to the country's ageing refinery infrastructure.
The petroleum minister said the government allocated Rs130 billion during the recent crisis to provide affordable fuel.
He added that consumers should benefit whenever international fuel prices decline.
Members of the committee also questioned the non-implementation of official LPG prices in the market.
Responding to the concerns, the minister said the government would seek an explanation from OGRA regarding enforcement of official LPG pricing.
