Petroleum Prices Likely to See Minor Adjustment from June 1
Petroleum prices in Pakistan are expected to undergo a minor revision from June 1, driven by global fluctuations in oil markets. The final decision on the new rates will be made following consultation with Prime Minister Shehbaz Sharif, officials confirmed.
Sources from the oil industry revealed that a working paper detailing proposed price adjustments has already been submitted to the Oil and Gas Regulatory Authority (OGRA). Based on this document, OGRA will prepare a formal summary for the Ministry of Finance, which is expected to review the proposal and present it to the Prime Minister by May 31.
Expected Price Changes (Provisional Estimates):
- Petrol: May decrease by Rs. 0.61 per litre
- High-Speed Diesel (HSD): May decrease by Rs. 0.28 per litre
- Kerosene Oil: May increase by Rs. 0.21 per litre
- Light Diesel Oil (LDO): May increase by Rs. 1.30 per litre
These estimates are based on current trends in the international oil market and the exchange rate fluctuations affecting import costs.
The final prices will be determined after the Prime Minister’s consultation, with the Ministry of Finance issuing an official notification shortly thereafter.
Officials noted that the government retains the authority to modify petroleum levies or offer relief through tax adjustments, depending on broader economic considerations.
Fuel price adjustments are made bi-monthly in Pakistan based on OGRA’s calculations, which account for changes in international oil benchmarks and the value of the Pakistani Rupee against the US Dollar.
Economic analysts suggest that while the reductions are modest, even small relief in fuel prices could have a cascading effect on transportation and consumer goods, especially in urban centers.
