ISLAMABAD: Pakistan’s government on Wednesday increased the price of petrol by Rs4.45 per litre while reducing the price of high-speed diesel (HSD) by Rs2.00 per litre under the daily petroleum pricing mechanism.
According to a notification issued by the Oil and Gas Regulatory Authority (OGRA) after approval by the federal government, the price of petrol has been increased to Rs333.01 per litre from Rs328.56, while the price of high-speed diesel has been reduced to Rs383.86 per litre from Rs385.86.
The revised prices will take effect from midnight (August 6) and will remain in force until the next daily review.
The latest revision comes a day after the government reduced petrol prices by Rs3.39 per litre and HSD by Rs4.07 per litre. Earlier this week, petrol prices were also cut by Rs4.08 per litre and diesel by Rs2.45 per litre, while on August 1 petrol became cheaper by 12 paise per litre and HSD by 66 paise per litre.
Despite Wednesday’s increase, petrol prices remain Rs3.13 per litre lower than on August 1, while the price of high-speed diesel has declined by a cumulative Rs9.18 per litre over the same period.
Pakistan earlier this year replaced its weekly petroleum pricing mechanism with a daily review system in response to volatility in global oil markets following renewed hostilities in the Middle East.
Under the revised framework, OGRA determines ex-depot prices using a rolling seven-day average of international petroleum prices, exchange rate movements and other cost components before submitting its recommendations to the federal government for approval.
Petroleum Minister Ali Pervaiz Malik has said the daily pricing mechanism enables domestic fuel prices to reflect changes in international markets more quickly while improving transparency.
The regulator now updates petroleum prices on a daily basis through its official website to allow consumers to benefit from, or absorb, fluctuations in global oil prices without delay.
Pakistan had initially shifted from a fortnightly to a weekly fuel pricing mechanism after the outbreak of the Middle East conflict earlier this year.
