ISLAMABAD: The federal government has incorporated a massive increase of Rs 55 per litre in prices of petrol and diesel from today as global oil prices surged due to the US-Israel war with Iran.
According to officials, the sharp rise reflects growing pressure on international energy markets and regional supply routes.
Petroleum Minister Ali Pervaiz Malik announced the decision during a press conference alongside Deputy Prime Minister Ishaq Dar and Finance Minister Muhammad Aurangzeb. The government introduced the adjustment during its first weekly fuel price review after tensions in the Middle East disrupted global energy flows.
Following the revision, petrol will now cost Rs321.17 per litre, up from Rs266.17. Similarly, the price of high-speed diesel has risen to Rs 335.86 per litre from Rs 280.86.
Previously, authorities reviewed petroleum prices on a fortnightly basis. However, officials have shifted to a weekly mechanism due to volatile international markets and supply concerns following the closure of the Strait of Hormuz.
Government revises petroleum levy, warns against hoarding
Meanwhile, the government has also adjusted the petroleum development levy. Authorities increased the levy on petrol from Rs84.40 to Rs105 per litre. In contrast, the levy on high-speed diesel has been reduced from Rs 76.21 to Rs 55 per litre.
Malik said the decision came after careful consideration of rapidly changing global conditions. He added that authorities would review fuel prices every week and reduce them quickly once international markets stabilise.
Furthermore, the minister said the government has been safeguarding petroleum reserves in recent weeks to maintain an uninterrupted fuel supply nationwide. He also warned that authorities would take strict action against individuals who hoard fuel to make illegal profits.
Earlier, Prime Minister Shehbaz Sharif chaired a high-level meeting to make an assessment of the situation and explore alternative oil supply routes from the Red Sea port of Yanbu in Saudi Arabia.
