Petrol price soars by Rs13.18, diesel also hiked

The federal government has increased petrol and high-speed diesel prices after renewed uncertainty in global oil markets due to rising tensions between the United States and Iran.

According to the latest price revision, petrol has become more expensive by Rs13.18 per litre, while high-speed diesel has increased by Rs13.80 per litre.

After the increase, petrol will now be sold at Rs310.71 per litre, while the price of high-speed diesel has reached Rs323.30 per litre. The new prices came into effect from midnight on Friday.

The government linked the increase to fluctuations in international petroleum markets, where crude oil prices have been affected by fresh tensions in the Middle East.

The latest adjustment comes after a period of declining fuel prices in Pakistan. Over the past month, petroleum prices had been reduced significantly following improvements in the international market and progress under the Islamabad Memorandum of Understanding.

Earlier, petrol prices were reduced by Rs74 per litre, while high-speed diesel prices were cut by Rs67 per litre. Last week, the government also announced a reduction of Rs1.97 per litre in the prices of both petrol and diesel.

Global energy markets remain under pressure due to security concerns in the Middle East, particularly around the Strait of Hormuz, which is one of the world’s most important oil transportation routes.

The International Energy Agency (IEA) reported that global oil production improved in June as Gulf producers gradually restored output after disruptions. However, supply levels remained below pre-conflict levels due to continued security challenges.

The agency said global oil production was still around 9.4 million barrels per day below levels recorded before the US-Israel-Iran conflict.

Oil supplies from Gulf producers increased by around 3.5 million barrels per day during June as market conditions improved. However, shipping disruptions and security concerns around the Strait of Hormuz continued to affect regional production.

OPEC+ countries also increased output by around 2.45 million barrels per day in June, reaching 38.39 million barrels per day. Saudi Arabia and Kuwait contributed significantly to the production increase.

Non-OPEC+ countries also recorded higher production, with the United Arab Emirates making a major contribution to the additional supply.