Petrol prices in Pakistan may decrease by Rs15 per litre under a new formula, Petroleum Minister Ali Pervaiz Malik has said.
Speaking at a press conference in Islamabad alongside Information Minister Attaullah Tarar, Ali Pervaiz Malik said providing relief to the public was a top priority for the prime minister.
He said the government would hold a meeting with oil refineries on Thursday to discuss the matter. He added that cooperation from the refineries could help reduce petrol prices by Rs15 per litre.
Meanwhile, Information Minister Attaullah Tarar said the government had stopped a Rs15 per litre increase in petrol prices on the prime minister’s instructions.
He said the government had so far provided Rs27 billion in petrol relief to the public.
Tarar added that petrol prices were due to increase by Rs15 per litre on Friday. However, oil refineries took on the additional cost instead of passing it on to consumers.
Govt considers Rs10 to Rs15 per litre cut in petroleum levy
Previously, it was reported that petrol prices could fall by Rs15 per litre under a new formula. The government is now considering a reduction of Rs10 to Rs15 per litre in the petroleum levy.
Under the proposed plan, oil refineries will also contribute to the Petroleum Development Levy (PDL). The move aims to reduce the financial burden on consumers.
The new formula could lower the petroleum levy by Rs10 to Rs15 per litre. However, it may also cause losses of more than Rs30 per litre for oil refineries.
Under the plan, oil refineries will be allowed to keep the ex-refinery price of petrol at the March 7, 2026 level for the next 30 days.
Premiums, extra costs and customs duties will also remain unchanged during this period.
What steps has the government taken?
The Petroleum Division has sent letters to all oil refineries. It has asked them to share daily petrol sales details with the Oil and Gas Regulatory Authority (OGRA) and the Petroleum Division.
On Friday, the federal cabinet also approved a proposal to set petrol’s import price based on the actual import cost of the relevant Pakistan State Oil (PSO) shipment.
However, the government has not issued an official notification about the proposed cut in the petroleum levy. This means the possible reduction of Rs10 to Rs15 per litre is not yet confirmed.
