Islamabad – In a development that promises some relief for Pakistani consumers, petrol and diesel prices are anticipated to decrease by around Rs10 per litre starting September 16. This reduction would mark the fourth consecutive decline in fuel prices, driven by a recent $5 per barrel drop in global oil prices over the past two weeks.
Currently, petrol is priced at Rs259.1 per litre and diesel at Rs262.75 per litre. The proposed decrease follows a trend of declining fuel costs, with the last adjustment on September 1 seeing petrol prices cut by Rs1.86 and diesel by Rs3.32. Over the past three reviews, petrol prices have fallen by Rs16.50, and diesel prices have dropped by Rs19.88.
Despite the anticipated drop, the government may counterbalance this reduction by increasing the petroleum levy by Rs5 per litre. This measure is intended to address a Rs100 billion revenue shortfall for the first two months of the fiscal year. The levy increase is designed to mitigate the impact of lower international oil prices while still generating necessary funds.
Internationally, petrol prices have decreased from $81 to below $76 per barrel, and diesel has dropped from $88.5 to $83 per barrel. These reductions, coupled with stable import charges and exchange rates, are contributing to the expected price decrease in Pakistan.
Cheaper fuel prices are expected to help alleviate inflationary pressures, particularly benefiting middle and lower-income families who depend on private transportation. Diesel, which is crucial for heavy trucks, trains, and agricultural machinery, also impacts the cost of goods and services, including essential items such as food.
Officials are closely monitoring the situation to ensure that the balance between international oil price fluctuations and domestic revenue needs is maintained.
