The federal and provincial governments jointly initiated the motorcycle fuel subsidy programme with the aim of alleviating the financial burden of the people, Federal Minister for Petroleum Ali Pervaiz Malik has said.
The minister stated that the government has been providing consolation to motorcyclists amounting to Rs130 billion via this initiative.
The subsidy is given to eligible motorcycle owners after verifying their records with information from the Excise Department, he said.
Ali Pervaiz Malik said that the programme might be phased out in the coming days, but a final decision has not been made.
The minister said the future of the subsidy scheme would be determined in the end by the decision of Prime Minister Shehbaz Sharif who would solicit the opinions of the different provinces before making a final decision.
Ordinance 125/2026 on the subsidy of fuels for the use of motorcycles was enacted in April 2026 due to the significant increase in petroleum prices, caused by the volatility of prices in the international market and regional tensions.
The government chose targeted instead of blanket fuel subsidy benefits to reach low- and middle-income groups.
In the scheme, registered motorcyclists received a subsidy of Rs100 per litre for 20 litres a month of petrol, which meant that they could get a maximum of Rs2,000 a month as relief. The scheme was introduced initially for three months, in conjunction with the provincial administration.
Also read: Sindh announces massive relief for motorcycle riders after petrol price hike
Motorcycle fuel subsidy program extended until May 31
The government of Sindh earlier extended the Peoples Motorcycle Fuel Subsidy Program until May 31 and directed the release of Rs2 billion for the initiative.
The decision was taken in a provincial cabinet meeting chaired by Chief Minister Murad Ali Shah, where several key approvals were granted related to development projects, urban facilities, and administrative reforms.
During the briefing, it was revealed that more than 548,000 people have so far benefited from the program, with Rs1.096 billion already distributed.
According to the Sindh government spokesperson, the sales tax for motorcycle ride-hailing services has been reduced from 5% to 2%, providing relief to online drivers.
The cabinet also sanctioned Rs6.5 billion towards road rehabilitation in Karachi, which would facilitate the state to initiate road repairs within minutes and to release funds instantly.
