The government has reduced the petrol price by Rs0.43 per litre but increased the price of high-speed diesel (HSD) by Rs3.47 per litre.

The new petrol price stands at Rs390.79 per litre. HSD will now cost Rs424.92 per litre.

The revised prices took effect on September 18, according to the Petroleum Division’s notification.

Petrol Price Falls Marginally

The government continues to charge Rs114 per litre in taxes and duties on petrol. The levy on diesel stands at Rs100 per litre.

The Oil and Gas Regulatory Authority (OGRA) linked the latest changes to movements in international oil prices. The regulator also considered market rates, premiums and other relevant factors.

The latest revision came a day after the government raised both fuel prices. On September 17, petrol rose by Rs6.88 per litre and HSD by Rs5.62 per litre.

Daily Fuel Pricing Continues

Pakistan shifted to a daily fuel pricing mechanism amid sharp fluctuations in international oil markets.

Under the system, OGRA reviews fuel prices based on international market trends and related pricing factors.

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The government had previously announced weekly price revisions. It moved to daily adjustments as tensions in the Gulf increased uncertainty in global oil markets.

The frequent changes have also affected transport and business costs across the country.

Diesel Price Remains Below April Peak

Despite the latest increase, diesel remains well below its April peak of Rs520.35 per litre, according to the supplied data.

Petrol also remains below its reported peak of Rs458.41 per litre recorded on April 3.

Fuel prices have moved sharply since the start of the year as international oil markets responded to geopolitical developments.

Fuel Prices Affect Transport Costs

Petrol remains a key fuel for private vehicles, motorcycles, rickshaws and small cars.

Diesel plays a major role in heavy transport, power generation and large generators. Changes in HSD prices can therefore affect freight and other operating costs.

Petrol and diesel also generate most of the government’s petroleum-related revenue because of their much larger sales volumes.

The government has also introduced fuel-relief measures for eligible motorcycles, rickshaws and vehicles with engines up to 800cc.