People on their motorcycles wait their turn to get fuel at a gas station, hours before fuel prices are raised in Pakistan, amid the US-Israel conflict with Iran, in Karachi, Pakistan, April 30, 2026. Photo taken with a mobile phone. Reuters
The federal government on Friday cut the prices of petrol and high-speed diesel (HSD) by Rs1.97 per liter for the next week, according to a notification issued by the Petroleum Ministry.
Under the revised rates, petrol price has been fixed at Rs 297.53. per liter while HSD will now cost Rs 309.50.
The new prices took effect at midnight and will remain in effect next week, the announcement said.
The announcement came a week after the government decided to keep petrol and diesel prices unchanged despite a continued fall in international oil prices.
Following this decision, Oil Minister Ali Pervaiz Malik dismissed the impression that the government was favoring a particular sector and said the public was likely to receive “good news” in the coming days.
Read: Freezing oil prices backfires
He said Prime Minister Shehbaz Sharif’s top priority was to protect consumer rights, adding that a high-level committee had been constituted on Prime Minister’s directives to ensure transparency in oil prices and positive developments were expected soon.
The minister said the government was closely monitoring trends in the international oil market and urged the public to review the international Platts prices for petrol and diesel, maintaining that pricing decisions were made on a fair and transparent basis.
It later emerged that in order to keep oil prices unchanged, the federal government had revised the tax structure on petroleum products at the beginning of the new financial year by increasing the climate subsidy tax on petrol and HSD while reducing the oil tax by a similar amount.
According to a notification issued by the Ministry of Energy on July 1, the climate subsidy levy on petrol and HSD was increased by Rs2.50 per liter to Rs5 per litre.
At the same time, oil duty on petrol sold through retail outlets was reduced by Rs2.50 per liter to Rs64.14 per litre, while duty on HSD was reduced by Rs2.50 per liter to Rs77.04 per litre.
