By Staff Reporter
ISLAMABAD: The government increased the price of petrol by Rs5 a liter and high-speed diesel by Rs7.32 a liter, according to a notification issued by the Petroleum Division late Sunday night.
The revised rates take effect immediately from Feb. 16 and will remain in place for the next fortnight. Petrol now stands at Rs258.17 a liter, up from Rs253.17. High-speed diesel has been lifted to Rs275.70 a liter from Rs268.38.
The adjustment comes two weeks after a significant reduction in diesel prices. On Feb. 1, the government cut high-speed diesel by Rs14 a liter to Rs268.38 from Rs282.38, while leaving petrol unchanged at Rs253.17.
Industry sources had projected more modest increases ahead of this review, with petrol expected to rise by around Rs4.39 a liter and diesel by Rs5.40. The actual hikes exceeded those forecasts.
Pakistan reviews petroleum product prices every two weeks, aligning them with movements in international oil markets, fluctuations in the rupee-dollar exchange rate, and adjustments to domestic taxes and levies. The process is a routine but closely watched feature of the country’s energy pricing framework.
High-speed diesel remains the bigger economic bellwether. It powers the trucks that move goods across the country, the buses that carry inter-city passengers, agricultural machinery including tractors, tube wells and threshers, and a substantial share of power generation. Any increase feeds directly into higher transport and production costs, often showing up first in the prices of vegetables and other fresh produce.
Petrol, by contrast, is the fuel for the motorcycles, auto-rickshaws and small cars that dominate daily commuting in Pakistan’s cities and towns. The extra Rs5 a liter will add to the monthly outlay for millions of middle- and lower-middle-class households already stretched by elevated living costs.
The fortnightly revisions are designed to keep retail prices in line with import costs while helping the government manage its subsidy bill and meet fiscal targets.
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