Government raises petrol and diesel prices by Rs55 per litre

ISLAMABAD:Masses should get ready to bear the brunt of uncertainty in the Gulf region, the government has increased petrol and diesel (high speed diesel) price by Rs 55 per litre each which will be applicable from Saturday (7th March)  across the country. 

Petrol and diesel prices were increased by Rs55 per litre after a high-level government review, triggering fresh cost pressure on consumers amid global oil market volatility.

According to sources, the petrol and diesel price hike was decided in a high-level government meeting chaired by Deputy Prime Minister Ishaq Dar. The meeting included Federal Minister for Petroleum Ali Pervaiz Malik along with senior cabinet members.

Industry sources informed that the review process also involved consultations with other key federal ministers, including the Finance Minister, Commerce Minister and Power Minister, before final approval of the new petroleum pricing structure.

Following the policy review and assessment of global energy market trends, the government formally approved the increase and later announced the revised rates in a press briefing jointly addressed by Dar and Malik.

Under the new pricing, the retail price of petrol has been fixed at Rs321 per litre while high-speed diesel has been set at Rs335 per litre. The revised prices will be implemented from midnight.

Authorities stated that the decision was taken in response to rising international oil prices and regional geopolitical tensions affecting import costs and supply chain stability.

The announcement of significant hike in petrol and diesel prices is expected to generate strong public reaction, with industry sources arguing that the hike will further strain household budgets, transportation fares and commodity prices in the country. They noted that existing petroleum stocks, reportedly purchased nearly 24 days earlier at lower rates, may now be sold at the revised higher prices.

Petrol is widely used in private vehicles, motorcycles and light urban transport across major cities and rural areas, while diesel plays a critical role in freight movement, intercity buses, agricultural machinery and commercial logistics.

The industry sources warned that continued volatility in global oil markets could keep domestic fuel prices under pressure in the coming weeks, potentially adding inflationary momentum in essential goods and services.

The government has maintained that the price adjustment was unavoidable due to international market movements and import cost escalation, and officials say the policy aims to maintain stability in the national petroleum supply system. The revised prices will only be applicable for seven days.