ISLAMABAD: The government is expected to announce an increase in petroleum product prices for the upcoming fortnight starting February 16, according to industry sources. The final decision will be made by the Oil and Gas Regulatory Authority (Ogra) in consultation with the Ministry of Finance and the Prime Minister.
Proposed Price Hikes
Sources indicate that the petrol price could rise by Rs4.39 per litre, taking it from the current Rs253.17 to Rs257.56 per litre. High-speed diesel (HSD) is likely to see an increase of Rs5.40 per litre, bringing it to Rs273.78 from Rs268.38 per litre.
Other petroleum products may also become costlier: kerosene oil is expected to increase by Rs4 per litre, while light diesel oil (LDO) could see a rise of Rs6.55 per litre.
Previously, on January 31, the government had raised HSD prices by Rs11.30 per litre but kept petrol prices unchanged.
Petrol Price Hike in Pakistan – Government Policies Explained
Impact on Consumers
Petrol is primarily used by commuters in small vehicles, motorcycles, and rickshaws. Any increase in petrol prices directly affects middle and lower-middle class households, whose daily travel costs would rise.
On the other hand, high-speed diesel is widely used in the transport and agricultural sectors, including trucks, buses, trains, tractors, tube wells, and threshers. Since HSD is a key input for goods transport, its price hikes are considered inflationary, contributing to higher prices of vegetables and other essential food items.
Analysts warn that repeated fuel price adjustments put additional pressure on household budgets and could further impact overall inflation, which has remained a sensitive issue in Pakistan’s economy.
The government and Ogra are expected to announce the official rates shortly, which will set the benchmark for fuel prices across the country for the next two weeks.
