Islamabad:
The government cut Thursday the price of gasoline with RS7.54 per Liters while raising the price of high -speed diesel (HSD) with RS1.48 per Liter for the next two weeks.
The HSD price increase comes into force from August 1, 2025. However, it has reduced the price of gasoline to the next fourteen days, which remains effective until August 15.
The Ministry of Finance said in a statement that the government of Pakistan’s finance department has announced new petroleum product prices that come into force from August 1, 2025.
It said the price changes were determined after reviewing international market trends and considering recommendations from Oil and Gas Regulatory Authority (OGRA) and other relevant ministries.
According to the declaration, the price of HSD has witnessed an increase of RS1.48 per year. Liter, which brings the new price to RS285.83. The existing price was RS284.35 per year. Liter.
The government has reduced the price of gasoline by RS7.54 per year. Liter. The gasoline will now be available at the new price of RS264.61 per. Liter. The previous price was RS272.15 per Liter. These revised prices will be in effect for the next fourteen days.
Previously, consumers had witnessed a massive increase in prices of oil products, as the government had increased the price of HSD by RS10.39 per year. Liter with effect from July 1, 2025.
High-speed diesel is widely used in the agricultural and transport sector. Therefore, fresh increase in its price will give consumers inflationary influence.
Farmers use this fuel for tractors, while the transport sector also uses it. Therefore, the cost of transport goods would increase, which resulted in higher inflation across the country.
The government has also raised the price of gasoline with RS8.36 per year. Liter from July 1st.
Gasoline is used in motorcycles and cars and is considered an alternative of the compressed natural gas (CNG).
Gas tools had stopped supplying the original gas to the CNG stations, especially in the Punjab Province, and therefore these CNG stores had used imported gas over a decade.
The recent reduction in the price of gasoline is a great relief for motorcycles and cars.
Pakistan is a net importer of oil and imports about 85 percent of total oil products to meet the domestic needs. The local oil and gas research companies produce crude oil to meet 15 percent of the total oil needs.
Therefore, fluctuations in global oil prices also affect domestic oil prices.
Consumers also pay higher taxes in the form of oil tax on the petroleum products. They pay over RS77 per Liter of petroleum tax on diesel and gasoline.
LPG prices
The Oil and Gas Regulation Authority (OGRA) has also significantly reduced the price of liquid petroleum gas (LPG) to give consumers’ relief in the midst of the ongoing inflation pressure for consumers mid-August 2025 to provide relief to consumers.
According to the latest notification issued by the authority, the regulator has set a new consumer price of LPG to RS2,541.36 for a 11.8 kg domestic cylinder with effect from 1 August 2025 with a reduction of RS209.24 or 7.6 percent compared to July’s rate of RS2,750.60.
The manufacturer LPG price is also reduced from RS191,802.01 per Tonnes in July to RS174.069.26 per Tons in August, reflecting a similar decrease on RS17.732.75. The fall is translated into an RS17.73 per year. Kg Reduction in LPG consumer price.
OGRA stated that the price that is primarily downside down is the result of a decrease of 9.8 per cent. Although the average exchange rate for the US dollar recorded a marginal increase of 0.38% over the same period, it was not enough to equalize the downward trend in international LPG prices.
