By Urdu Report Editorial Team
ISLAMABAD: The government has reduced the price of high-speed diesel by Rs32.63 per litre across Pakistan. However, petrol prices have increased by Rs2.97 per litre under the latest fuel price revision. The new petroleum prices came into effect from midnight on August 20.
According to the latest notification, the price of high-speed diesel has dropped from Rs395.69 to Rs363.06 per litre. Meanwhile, petrol prices have increased from Rs334.54 to Rs337.51 per litre. The revised rates were announced following recommendations from the Oil and Gas Regulatory Authority (OGRA).
OGRA Official Petroleum Prices
Petroleum Minister Explains Diesel Price Cut
Petroleum Minister Ali Pervaiz Malik had earlier indicated that consumers could receive significant fuel price relief. He made the remarks during a press conference alongside Information Minister Atta Tarar. Malik said the government had provided targeted relief during difficult economic conditions.
The minister said the relief followed several meetings between government officials and local oil refineries. According to Malik, the refineries eventually accepted the government’s request after detailed discussions. He also said Prime Minister Shehbaz Sharif had directed officials to secure maximum possible relief.
Global oil prices have remained elevated because of the ongoing conflict in the Middle East. Despite these international pressures, the government has announced a major reduction in diesel prices. The move is being viewed as significant relief for transporters, farmers and other diesel consumers.
Transporters and Farmers Welcome Relief
Transporters have welcomed the major diesel price reduction and described it as significant relief. Farmers are also expected to benefit because agricultural machinery relies heavily on diesel fuel. The lower diesel price could reduce transportation expenses and farming-related operating costs.
However, petrol consumers have expressed concerns over the latest increase in petrol prices. Motorcycle users have particularly raised concerns about higher fuel expenses. Social media users have also questioned the frequent changes in petroleum product prices.
Daily Fuel Pricing System
Pakistan has recently moved toward a daily petroleum pricing mechanism instead of weekly revisions. Under the system, OGRA reviews international oil prices and currency exchange rates. The authority also considers other market factors before recommending revised petroleum prices.
The government then announces revised rates based on OGRA’s recommendations. The latest diesel reduction comes only one day after another fuel price increase. On August 19, petrol prices increased by Rs3.34 per litre, while diesel rose by Rs5.27 per litre.
The sharp diesel reduction has therefore surprised many consumers across the country. Consumers are closely monitoring fuel prices because rates can now change more frequently. Transport operators are particularly focused on diesel prices because of their operating costs.
Dealer Margins to Increase From September
The government has also approved an increase in petroleum dealers’ margins from September 1. The dealer margin will increase by Rs1.34 per litre under the approved revision. Dealers will receive Rs9.98 per litre instead of the existing Rs8.64 per litre.
The revised dealer margin could affect the overall retail fuel pricing structure. The latest fuel price changes will provide relief to diesel users but increase petrol costs. Transporters and farmers are expected to benefit most from the significant diesel price reduction.
