The government on Friday reduced the price of petrol by Rs1.65 per litre and high-speed diesel (HSD) by Re0.88 per litre.
Following the revision, petrol will now cost Rs389.14 per litre, while high-speed diesel (HSD) will be sold at Rs424.04 per litre.
The new fuel prices, notified by the Petroleum Division, will remain in effect until September 21.
Under the revised framework, approved by the federal cabinet, Ogra will publish updated fuel prices on its website daily to improve transparency and allow consumers to benefit more quickly from changes in international oil markets.
The new pricing mechanism will be based on a rolling seven-day average of international petroleum prices, aligning Pakistan’s fuel-pricing system with global practices, Petroleum Minister Ali Pervaiz Malik said at a news conference last Friday.
Amid heightened volatility in global oil markets following renewed hostilities in the Middle East, the government decided to adopt a daily fuel price review mechanism.
The weekly review system had been introduced after the outbreak of the Israel-Iran conflict in February, which was further intensified by US involvement and disruptions to energy shipments through the Strait of Hormuz, a key route for global oil supplies.
Prior to the weekly mechanism, petroleum prices were revised on a fortnightly basis.
Daily fuel pricing framework
An official document seen by Geo News has revealed key details of the federal cabinet-approved petroleum pricing mechanism, under which the Ogra will issue ex-depot prices of petrol and high-speed diesel on a daily basis.
Under the new framework, fuel prices will be determined using the average international market prices recorded over the previous seven days.
The regulator will be authorised to announce daily prices without requiring prior approval from the prime minister or the federal government, while prices notified on Fridays will remain unchanged on Saturdays and Sundays.
The document stated that Ogra will publish daily Platts reference prices from July 1, 2026.
It also stipulated that the petroleum levy cannot exceed the limit approved by the federal cabinet, while any change in the levy rate will require approval from the Finance Division.
Import conditions revised
The document further outlined revised fuel import arrangements for fiscal year 2026-27. Imports of high-speed diesel will be routed exclusively through Pakistan State Oil (PSO), while oil marketing companies will be allowed to import petrol in line with their market shares.
