As the new fiscal year kicks off, the federal government has delivered another financial jolt to the common man by raising fuel prices for the second consecutive fortnight.Â
According to a notification from the Finance Division, petrol prices have been increased by Rs8.36 per litre, pushing the new rate to Rs266.79, up from Rs258.43. High-speed diesel has also seen a hike of Rs10.39 per litre, reaching Rs272.98 from Rs262.59.
The revised fuel prices will come into effect from July 1, 2025.
This marks the second consecutive fortnightly increase. In the previous review, petrol had gone up by Rs4.80 per litre and diesel by Rs7.95 per litre.
The adjustment comes after recommendations from the Oil and Gas Regulatory Authority (OGRA) and relevant ministries. The government explained that the increase in fuel prices is due to fluctuations in international market trends, which have affected global oil prices.
Sources said that the government has also imposed a carbon levy of Rs2.50 per litre on fuel. The petroleum development levy (PDL) on petrol has now been adjusted to Rs75.52 per litre, while diesel will carry a levy of Rs74.51 per litre.
Meanwhile, global oil markets witnessed a decline as investors factored in reduced tensions in the Middle East and the likelihood of increased OPEC+ output in August. Both Brent and US crude benchmarks logged their steepest weekly losses since March 2023.
The fuel price hike comes just a day after the Oil and Gas Regulatory Authority (Ogra) announced a 50% increase in fixed gas charges for domestic consumers, also effective from July 1, as part of the fiscal measures for 2025-26.
