ISLAMABAD: Pakistan’s government on Tuesday reduced the price of petrol by Rs3.19 per litre while increasing the price of diesel by Rs2.25 per litre following the latest revision.
After the revision, petrol will be priced at Rs376.06 per litre, while high-speed diesel (HSD) will cost Rs398.07 per litre.
According to a press release issued by the Petroleum Division, the revised fuel prices will be applicable from October 28.
The petrol price had peaked at Rs458.41 on April 3 after beginning its upward trajectory from Rs266 in the first week of March.
Pakistan’s daily fuel price mechanism
On July 17, Petroleum Minister Ali Pervaiz Malik announced that fuel prices would now be fixed on a daily basis due to fluctuations in international market prices following renewed hostilities between Iran and the US.
Prior to this, the government of Pakistan had been announcing weekly revisions to fuel prices since early March, alongside measures for the conservation of fuel amid possible oil supply disruptions due to the ongoing conflict in the Middle East.
The Pakistan government in April also announced targeted relief measures to provide subsidised fuel.
Petrol is mainly used in private transport, small vehicles, rickshaws, and two-wheelers, and changes in its price affect the middle and lower-middle classes.
Similarly, changes in diesel prices also impact the public at large, as it is mainly used in the heavy transport sector, power plants, and large generators.
Oil prices fall as peace hopes offset Gulf supply risks
Global oil prices declined in Asian trading on Tuesday as diplomatic efforts to ease the US-Iran war offered some relief to markets, which were still wary of attacks on energy infrastructure and shipping in the Arabian Gulf.
ALSO READ: Oil Prices Fall as Peace Hopes Offset Gulf Supply Risks
Attacks and maritime disruptions kept crude prices near six-month highs. But on Tuesday Brent crude futures fell 0.57 per cent to $115.15 a barrel.
Likewise, US West Texas Intermediate (WTI) crude declined 0.43 per cent to $101.32. The declines followed Monday’s settlements of $115.81 for Brent and $101.76 for WTI.
Despite the latest losses, both benchmarks recorded weekly gains last week.
Brent advanced about 6 per cent, while WTI rose 2.3 per cent as renewed Houthi attacks heightened concerns about oil infrastructure and regional shipping routes.
