Diesel may jump Rs40, petrol Rs10

Pakistan is expected to witness a major increase in fuel prices in the upcoming fortnightly review, with high-speed diesel likely to become Rs40 per litre more expensive and petrol expected to rise by around Rs10 per litre. The expected increase follows a sharp jump in international crude oil prices triggered by escalating tensions between Iran and the United States.

According to officials, the revised prices are expected to come into effect from 12:10am on July 18, subject to final government approval. The increase in global oil prices has placed additional pressure on Pakistan’s import bill, making a revision in domestic fuel prices likely.

To lessen the burden on consumers, the government is considering reducing the petroleum levy on fuel products. Officials believe lowering the levy could partially offset the expected increase and prevent an even sharper rise in retail fuel prices. A final decision on the levy is expected before the announcement of the new prices.

At the same time, authorities have moved to prevent market manipulation. The National Committee on Monitoring and Coordination (NCMC) has taken serious notice of reports that certain traders and fuel dealers are allegedly hoarding petroleum products in anticipation of higher prices.

The committee has directed the Oil and Gas Regulatory Authority (OGRA) to launch immediate action against hoarders and ensure that petroleum products remain available across the country without interruption. Officials have been instructed to monitor fuel stations and oil depots closely to stop artificial shortages and profiteering.

The government has also asked provincial administrations and relevant departments to remain vigilant and take strict action against anyone found violating fuel supply regulations. Authorities fear that speculation over expected price increases could encourage illegal stockpiling, creating unnecessary shortages for consumers.

The anticipated fuel price hike is primarily linked to the continued surge in global crude oil prices. International energy markets have remained volatile due to the ongoing conflict and rising geopolitical tensions in the Middle East, particularly between Iran and the United States. The uncertainty has pushed oil prices to higher levels, affecting countries that rely heavily on imported petroleum products.