The federal government has increased the prices of petrol and high-speed diesel (HSD) by Rs4.10 and Rs6.41 per litre, respectively, for September 16, amid continued volatility in international oil markets.
According to a notification issued by the Petroleum Division, the new petrol price has been set at Rs384.34 per litre, while HSD will cost Rs415.83 per litre. The latest increase comes a day after petrol and HSD prices were raised by Rs4.42 and Rs6.10 per litre, respectively, for September 15.
The government introduced a daily petroleum pricing mechanism in July, replacing the previous weekly system. The move was aimed at allowing fuel prices to be adjusted more frequently in response to changes in international oil prices and global supply conditions.
The latest increases come as the government prepares to expand its Prime Minister’s Fuel Relief Scheme nationwide from September 16. Under the scheme, motorcycles, three-wheelers and cars with engines up to 800cc will receive a Rs100-per-litre fuel subsidy.
The relief programme is expected to cover around 11.8 million beneficiaries. Approximately 10 million motorcycle users and 800,000 three-wheeler users will be eligible for relief on up to 20 litres of fuel per month, providing a maximum monthly benefit of Rs2,000. Around one million eligible small-car owners will receive relief on up to 30 litres per month, with a maximum benefit of Rs3,000.
The government has estimated the monthly fiscal cost of the fuel relief scheme at Rs24.6 billion, including Rs20 billion for motorcycles, Rs1.6 billion for three-wheelers and Rs3 billion for eligible cars.
Domestic fuel prices have risen sharply in recent months amid volatility in global oil markets. Between July 1 and September 11, petrol prices increased by Rs72 per litre, while HSD prices rose by Rs87 per litre. Pakistan's reliance on imported crude oil and refined petroleum products means changes in international prices can have a direct impact on domestic fuel costs.
Global oil markets have also remained sensitive to geopolitical tensions, supply disruptions and developments affecting major shipping routes. International crude prices rose on Tuesday following reports of disruptions at Saudi Arabia's Yanbu port and the suspension of operations at three oil fields in Libya.
Brent crude futures climbed $2.81, or 2.66%, to $108.49 per barrel, while US West Texas Intermediate crude futures increased $3.29 to $104.68 per barrel during the reported trading session.
