The federal government has once again adjusted the prices of petroleum products, delivering another financial jolt to citizens already grappling with inflationary pressures. Effective July 1, the cost of petrol has risen by Rs. 8.36 per litre, pushing its new price to Rs. 266.79 per litre, up from Rs. 258.43. Similarly, high-speed diesel (HSD) has seen an increase of Rs. 10.39 per litre, bringing its new rate to Rs. 272.98 per litre from Rs. 262.59.
This marks the second consecutive fortnightly increase in fuel prices, following a previous hike on June 15 where petrol went up by Rs. 4.80 per litre and HSD by Rs. 7.95 per litre. These adjustments are made based on recommendations from the Oil and Gas Regulatory Authority (OGRA) and relevant ministries, citing fluctuations in international market trends and their impact on global oil prices. The prices of petroleum products in Pakistan are reviewed every two weeks, taking into account international oil price movements and the local currency exchange rate.
Adding to the financial strain, OGRA has also officially issued a notification for a significant increase in gas prices for domestic and other consumer categories, with the new rates also coming into effect from July 1. This move will further burden households, as domestic gas tariffs have been revised upward by as much as 50% in certain categories. According to the official notification, new domestic gas rates will range from Rs. 200 to Rs. 4,200 per MMBTU, and fixed monthly charges have been introduced for domestic users.
These consistent increases in essential utilities are a direct consequence of global energy price volatility and ongoing efforts to align local tariffs with cost recovery, a condition often tied to international financial programs. The cumulative impact of these price hikes on fuel and gas is expected to significantly affect transportation costs and the prices of everyday goods, further exacerbating the financial challenges faced by the average Pakistani household.
