ISLAMABAD – The federal government is set to announce revised weekly prices for petrol and high-speed diesel (HSD) today on Friday, with rise in global crude oil prices casting uncertainty over the country’s latest fuel review.
Just a week ago, Pakistanis received slight relief after government slashed petrol and diesel prices by Rs1.97 per litre in line with dip in international oil markets. However, the landscape has shifted dramatically over the past seven days.
International benchmark Brent crude climbed from around $72 per barrel last Friday to nearly $76 per barrel, while West Texas Intermediate (WTI) has risen from approximately $69 to $72 per barrel. The 5–6 percent weekly increase in crude prices has significantly complicated Pakistan’s latest fuel pricing exercise.
Despite upward trend in global oil markets, sources said the Oil and Gas Regulatory Authority (OGRA) has completed its pricing calculations with a proposal that leans toward maintaining current fuel prices rather than recommending an increase or decrease. The final summary, however, will be finalized after consultations with the government’s high-level committee before being sent for approval.
Petrol Price in Pakistan
| POLs | Price per Litre |
|---|---|
| Petrol | 297.53 |
| Diesel | 309.50 |
The government is weighing multiple options. While the surge in international crude prices provides room for a modest increase in domestic fuel prices, authorities are also considering absorbing part of the impact through adjustments in the petroleum levy and other fiscal measures to shield consumers from another price shock.
The most likely outcome appears to be either no change in petrol and diesel prices or, at most, a marginal adjustment. The possibility of a significant reduction is considered remote under the current market conditions.
The latest spike in global oil prices has been driven by renewed geopolitical tensions, including heightened friction between the United States and Iran, military developments, and growing concerns over potential disruptions to Middle Eastern oil supplies. Although crude prices edged slightly lower on Friday, the overall weekly trend remained firmly positive.
Pakistan’s fuel pricing mechanism is not based on a single day’s movement in international markets. Instead, authorities calculate prices using the average international oil price during the review period, while also factoring in import premiums, freight charges, the rupee-dollar exchange rate, petroleum levy, and applicable taxes. Consequently, a one-day dip in crude prices is unlikely to outweigh a week of sustained gains.
The final decision will be taken by the Ministry of Finance after receiving the Prime Minister’s approval, following recommendations from the government’s pricing committee. The revised prices, once notified, will remain in effect for the upcoming week.
Petrol Price Update in Pakistan amid global Oil Market turmoil
