ISLAMABAD: Prime Minister Shehbaz Sharif on Tuesday agreed to form a six-member committee comprising government and Jamaat-e-Islami (JI) representatives to develop proposals for a phased reduction in the petroleum levy and expand fuel relief to deserving households amid rising oil prices.
Thank you for reading this post, don't forget to subscribe!The decision came during a meeting between the prime minister and JI Amir Hafiz Naeemur Rehman, who called for the complete abolition of the petroleum levy to ease the financial burden on consumers.
According to the Prime Minister’s Office, the committee will comprise three representatives each from the government and JI. It will examine options for expanding the existing petroleum relief scheme and formulate financially viable proposals for a phased reduction in the levy for consideration in the next federal budget.
The government’s committee will include Deputy Prime Minister and Foreign Minister Ishaq Dar, Planning Minister Ahsan Iqbal and Adviser to the Prime Minister Rana Sanaullah.
During the meeting, Shehbaz acknowledged the impact of rising fuel prices on the public, particularly low-income households, and assured the JI delegation that the government would pursue relief measures within its financial capacity.
The Prime Minister’s Office said 12.7 million people had registered under the government’s petroleum relief programme so far.
Speaking after the meeting, Hafiz Naeem said the government had sought time to develop a solution, while JI remained firm on its demand for the complete abolition of the levy.
“The question is not whether relief will be given, but how and when,” he said, adding that the technical committees had been given eight to 10 days to prepare proposals.
The JI chief said his party would continue its protest campaign alongside negotiations and warned that the government should take concrete action by mid-November. Otherwise, he said, the party could resume its long march towards Islamabad.
Hafiz also claimed that JI’s campaign had already secured a Rs32-per-litre reduction in diesel prices.
Addressing a news conference, Ahsan Iqbal said the government was committed to protecting vulnerable segments of society from the economic impact of regional tensions and higher international fuel prices.
He said disruptions to oil supplies through the Strait of Hormuz, along with rising transportation, insurance and logistics costs, had increased pressure on global energy markets.
Iqbal cautioned that relief measures must remain within the country’s financial capacity to avoid further economic difficulties. He argued that unsustainable fuel subsidies could undermine public finances and economic stability.
“The relief must be sustainable, and its cost must be something we can afford,” he said.
Rana Sanaullah said the government and JI shared the objective of providing relief to ordinary citizens and urged political parties to support diplomatic efforts aimed at restoring regional peace and stabilising energy markets.
The meeting was also attended by Finance Minister Muhammad Aurangzeb, Petroleum Minister Ali Pervaiz Malik, Economic Affairs Minister Ahad Cheema and Minister of State for Finance Bilal Azhar Kiani. The JI delegation included Liaquat Baloch, Syed Farasat Shah, Nasrullah Randhawa and Inayatullah.
