Islamabad: Pakistan’s federal government has reduced the prices of petrol and high-speed diesel (HSD) by Rs2.27 and Rs3.56 per litre, respectively, with the new rates taking effect from September 29, according to a Petroleum Division notification.
Petrol will now be sold at Rs389.03 per litre, down from Rs391.30, while HSD will cost Rs404.97, compared with the previous rate of Rs408.53.
The government attributed the revision to fluctuations in international oil prices.
What are the new petroleum prices?
| Product | Previous price | New price | Reduction |
|---|---|---|---|
| Petrol | Rs391.30 | Rs389.03 | Rs2.27 |
| HSD | Rs408.53 | Rs404.97 | Rs3.56 |
The revised rates will remain applicable from September 29 under the government’s new daily petroleum pricing mechanism.
How will the daily fuel pricing system work?
The Oil and Gas Regulatory Authority (OGRA) has begun publishing daily petroleum prices, with rates calculated using the average international market price recorded over the preceding seven days.
Under the new framework, OGRA can announce daily ex-depot prices for petrol and HSD without prior approval from the prime minister or federal government. Prices notified on Fridays will remain unchanged during Saturday and Sunday.
Petroleum Minister Ali Pervaiz Malik said the seven-day average is used in line with international pricing practices.
The government shifted from its previous fortnightly review system to more frequent price revisions amid volatility in international oil markets.
The framework also sets conditions for petroleum imports during fiscal year 2026-27, including exclusive HSD imports through Pakistan State Oil (PSO), while oil marketing companies can import petrol according to their market shares.
Kerosene oil and light diesel oil will also be subject to daily price determination under the new mechanism.