Govt plans subsidised fuel scheme for motorcyclists, rickshaws after price hike

The federal government is preparing a subsidised fuel scheme for motorcyclists and rickshaw drivers to offset the impact of recent increases in petroleum prices, Dawn reported. 

Officials informed the Senate Standing Committee on Petroleum that a relief package is under consideration to support low-income commuters following the latest price adjustments.

The development comes after petrol prices were raised by Rs55 per litre, while kerosene oil saw an increase of around Rs40 per litre, with the government also allocating Rs23 billion in subsidies to maintain petrol and high-speed diesel prices for a limited period.

During the briefing, the Petroleum Division said Pakistan currently has petrol reserves sufficient for 27 days and diesel stocks for 21 days, with additional reserves including jet fuel for 14 days, crude oil for 11 days and liquefied natural gas for nine days.

Officials stated that around 70% of Pakistan’s petrol imports come from the Middle East, and disruptions in regional supply routes have affected availability and increased prices.

They added that global fuel prices have risen sharply, with high-speed diesel increasing from $88 to $187 and petrol from $74 to $130 amid supply constraints linked to tensions in the Strait of Hormuz.

The committee was also informed that the government has temporarily allowed the import of petroleum products below Euro 5 standards to ensure continuity of supply.

Authorities said the proposed subsidy scheme aims to provide targeted relief while managing the impact of rising global energy costs on domestic consumers.