ISLAMABAD — The federal government on Friday increased the prices of petrol and high-speed diesel (HSD) by Rs3.66 and Rs4.80 per litre, respectively, passing on the direct impact of volatile global oil prices driven by renewed hostilities in the Persian Gulf. Following the regulatory adjustment, the new price of petrol stands at Rs335.18 per litre, while HSD has risen to Rs383.46 per litre. The Ministry of Energy’s Petroleum Division notified that these revised rates take effect immediately on Saturday, July 25. The domestic tax footprint remains substantial, with the national exchequer charging a cumulative Rs110 per litre in fixed taxes and duties on petrol, and Rs96 per litre on high-speed diesel.
Despite the recent increase, current fuel rates sit below their historic peaks recorded on April 3, when diesel reached Rs520.35 and petrol hit Rs458.41 following the outbreak of geopolitical conflict between the United States and Iran in late February. To manage extreme market fluctuations, Petroleum Minister Ali Pervaiz Malik announced a major structural policy shift: the federal cabinet and the Prime Minister have officially empowered the Oil and Gas Regulatory Authority (Ogra) to transition from weekly pricing to a daily fuel pricing mechanism. While the government aims to absorb real-time global shifts and continue targeted fuel subsidies, the All Pakistan Dealers Association has outright rejected the daily pricing model, warning that they will formulate a formal protest plan later this week.
