Summary
- Quite obviously, this persisting Middle East conflict and the resultant rise in global oil prices have created fresh economic challenges for citizens whose livelihoods are dependent, more or less, on motorcycles, rickshaws, Qingqis and small cars.
- Responding in a timely manner to the somewhat grave situation created by fluctuations in the international oil market, Prime Minister Muhammad Shehbaz Sharif announced the Special Relief Scheme, also known as the Fuel Subsidy Scheme, as a targeted, practical and financially balanced measure for the above-mentioned segments hit by rising oil prices, despite limited fiscal space and Pakistan’s international commitments.
- It is also quite commendable that close coordination has been ensured at the appropriate high level among the Finance Ministry, Petroleum Division, Oil and Gas Regulatory Authority (OGRA), Pakistan Telecommunication Authority (PTA), State Bank of Pakistan, NADRA, district administrations and telecommunication operators for the nationwide implementation of the relief scheme in a transparent manner.
Most unfortunately, the persisting Middle East conflict, which was caused by unprovoked and unwarranted aggression against Iran by a coalition of the US and Israel since February 2026, has not only threatened peace, security and stability in the region but also caused grave, serious and troublesome problems for oil-producing and exporting countries as well as oil-importing countries. The prolonged tension and disruptions in oil supply chains, mainly due to conflicting claims over control of the Strait of Hormuz, have resulted in frequent fluctuations in the international oil market.
Pakistan is among the oil-importing countries, as it continues to be highly dependent, to the extent of around 80 percent, on imported oil from friendly countries and other sources to meet its requirements for petroleum products.
Quite obviously, this persisting Middle East conflict and the resultant rise in global oil prices have created fresh economic challenges for citizens whose livelihoods are dependent, more or less, on motorcycles, rickshaws, Qingqis and small cars.
Lower- and middle-income citizens are making vital and appreciable contributions to the national economy through their labour, skills, small businesses, taxes and consumption. However, their limited incomes and the ever-increasing cost of living expose them directly to every major economic crisis, like the one mentioned above. For such citizens, a motorcycle, rickshaw, Qingqi or small car is not a luxury but a means of reaching their workplaces and earning a livelihood for themselves and their families. When petrol prices increase repeatedly, mainly due to persisting fluctuations in the international oil market, they are often forced to reduce their spending on food, children’s education and other essential household expenditures. Yet, somehow, a large proportion of this segment remains outside the scope of conventional social assistance programmes.
Responding in a timely manner to the somewhat grave situation created by fluctuations in the international oil market, Prime Minister Muhammad Shehbaz Sharif announced the Special Relief Scheme, also known as the Fuel Subsidy Scheme, as a targeted, practical and financially balanced measure for the above-mentioned segments hit by rising oil prices, despite limited fiscal space and Pakistan’s international commitments. Under the scheme, users of motorcycles, rickshaws, Qingqis and small cars of up to 800cc are getting petrol at subsidised rates of Rs100 per litre. The scheme is helping reduce pressure on the travel costs and household budgets of workers, delivery riders, lower-paid employees and people associated with small businesses.
Avoiding the details of this positive relief initiative, which have duly been published through print media in easily understood Urdu for the benefit of all prospective beneficiaries, it may be mentioned here that the historic significance of the PM’s Special Relief Scheme lies in the fact that, perhaps for the first time in the country, the federal government has laid the welcome and appreciable foundation for creating an organised digital economic record of a substantial segment of the lower- and middle-income population. With appropriate safeguards for personal information, this secure data will enable the federal government to identify citizens affected by economic crises and provide direct, targeted and transparent assistance in the future.
It is good to note that the Prime Minister has been directly supervising the implementation of this positive relief initiative at every stage and accordingly issuing directions to make the programme easier to access, broader in scope and more responsive to people’s needs. On the PM’s direction, the registration SMS sent to 0771 has already been made completely free of charge, thus ensuring that no citizen has to pay even for registration to avail themselves of petrol at subsidised rates from petrol stations across the country. The condition requiring the purchase of at least five litres of petrol to avail of the relief has since been removed, meaning that eligible two- and three-wheeler users, such as motorcycle, Qingqi and rickshaw drivers, can receive the full Rs500 weekly relief even if they purchase less than five litres of petrol. Furthermore, on the PM’s direction, motorcycles, rickshaws and Qingqis up to 20 years old are eligible for relief. Eligible cars of up to 800cc can also receive relief on 30 litres of petrol every month through three 10-litre tokens issued at 10-day intervals.
It is also quite commendable that close coordination has been ensured at the appropriate high level among the Finance Ministry, Petroleum Division, Oil and Gas Regulatory Authority (OGRA), Pakistan Telecommunication Authority (PTA), State Bank of Pakistan, NADRA, district administrations and telecommunication operators for the nationwide implementation of the relief scheme in a transparent manner.
The positive relief initiative in the form of the PM’s Special Relief Scheme got underway in earnest on September 16, 2026. It has been duly welcomed by the people at large, particularly the targeted prospective beneficiaries. Petrol station owners are fully cooperating and receiving the discounted amounts regularly through the State Bank of Pakistan. By and large, it augurs well and reflects the good and welcome intentions of the federal government, under the leadership of PM Shehbaz Sharif, to continue providing relief to the people as much as possible within the available national resources. May this good, positive and relief-oriented thinking for the welfare and well-being of the people continue.
The writer is a Lahore-based freelance journalist, columnist and retired Deputy Controller (News) at Radio Pakistan, Islamabad. He can be reached at zahidriffat@gmail.com.
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