The government raised on Thursday the price of petrol by Rs6.51 per litre and that of high-speed diesel (HSD) by Rs19.39.
Following the increase, the price of petrol stands at Rs393.35 per litre and HSD’s at Rs380.19.
The Petroleum Division’s press release notifying the increase said the new prices would be effective from May 1.
Petrol is mostly used in private transport, small vehicles, rickshaws and two-wheelers and has a direct bearing on the budget of the middle and lower-middle class. High-speed diesel is mainly used in the heavy transport sector and for large generators.
The government has been revising petroleum prices every week on following the now-paused US-Israeli war on Iran, which began on February 28. The war also led to a global fuel crunch caused by the closure of the Strait of Hormuz, through which one-fifth of the world’s supply of oil and gas used to pass in peace time.
After the US-Israeli war on Iran began, the government initially hiked petrol and diesel prices by Rs55 per litre on March 6 and announced unprecedented austerity measures on March 9.
In the following weeks, PM Shehbaz said he had rejected recommendations to increase fuel prices despite an increase in the global market on three occasions.
But on April 2, Petroleum Minister Ali Pervaiz Malik and Finance Minister Muhammad Aurangzeb announced an unprecedented increase of 43 per cent and 55pc in the prices of petrol and high-speed diesel, respectively. The ministers had also announced a targeted fuel subsidy programme.
However, just a day later, PM Shehbaz slashed the petroleum levy by Rs80 per litre and brought the price of petrol down to Rs378 per litre. Then, on April 10, PM Shehbaz further decreased diesel prices and petrol prices by Rs135 and Rs12 per litre, respectively. On April 17, PM Shehbaz approved another reduction of Rs32.12 in the price of diesel. However, the petrol price was kept unchanged.
But last week, the government raised the prices of petrol and high-speed diesel by Rs26.77 each.**
‘No truth to reports of petrol stations’ closure’
Thursday’s price hike came as the Petroleum Division refuted reports claiming that petrol stations were to shut down in the country owing to a fuel shortage.
“There is no truth to reports of the closure of petrol pumps from May 1. The supply of petroleum products will continue uninterrupted,” the Petroleum Division posted on X.
It said, “Spreading panic among the people through fake propaganda should be avoided.”
The Petroleum Division pointed out that uninterrupted supply of petroleum products in the country had been ensured since the start of the war in the Middle East, adding that their availability would be ensured in the future as well.
Separately, Islamabad Deputy Commissioner Irfan Nawaz Memon also posted on X that there was sufficient stock of petrol at all petrol pumps in the federal capital, adding that reports of petrol stations’ closure from May 1 were rumours.
He also asked citizens to contact the district administration’s control room if they were “provided less petrol than your requirement” at any station.
The DC appealed to the public not to pay any heed to the rumours of a fuel shortage in the country.
The developments come amid a global fuel crisis caused by the closure of Strait of Hormuz — through which 20 per cent of the world’s oil and gas supply used to pass in peacetime — as a consequence of the currently paused US-Israel war on Iran.
Petrol dealers debunk strike rumours
The All Pakistan Petrol Pump Owners Association (APPPOA) also refuted reports of a strike from May 1-5 as “baseless”.
A statement by the APPPOA quoted the association’s vice chairperson, Noman Ali Butt, as saying that there was no truth to the rumours of petrol stations’ closure.
“Petrol stations across the country will remain operational as usual,” he said, adding that the fuel supply to the consumers remained uninterrupted.
He further clarified that the rumours of the strike “have nothing to do” with his association and that petrol station owners were not in favour of a strike.
“People should not pay heed to rumours. The petrol station are open,” he added.
