Come Friday, petrol prices in Pakistan are set to rise once again, with petrol expected to go up by Rs. 2-3 per litre and high-speed diesel (HSD) facing a steeper increase of Rs. 6 per litre. The primary driver behind this surge is the global oil market, where Brent crude has climbed by approximately $2 per barrel in the last fortnight.
Diesel, a crucial fuel for transportation and agriculture, has seen a notable price increase due to a $2.50 per barrel rise in international markets. Meanwhile, petrol prices inched up by 50 cents per barrel.
While the exchange rate has remained relatively stable, the import premium on petrol has surged to $8.84 per barrel, adding further pressure on domestic prices.
With these adjustments, the ex-depot prices are expected to reach Rs. 256.13 per litre for petrol and Rs. 260.95 for HSD. Kerosene, predominantly used by lower-income households, will also see a Rs. 6 per litre increase, pushing its official rate to Rs. 169.25 per litre—though it is often unavailable at this price in the market.
Despite zero general sales tax (GST) on petroleum products, the government continues to levy heavy taxes, including a Rs. 60 per litre petroleum levy and Rs. 16 in customs duties. As fuel prices rise, consumers brace for a new wave of inflation, making daily expenses even harder to manage.
Current Petrol Prices
As of January 16, 2025, the Oil and Gas Regulatory Authority (OGRA) has set the price of petrol at Rs. 252.66 per litre, while high-speed diesel (HSD) is priced at Rs. 258.34 per litre. Kerosene oil is available at Rs. 161.66 per litre, and light diesel oil (LDO) is priced at Rs. 148.95 per litre.
This rise in fuel costs is set to impact the everyday lives of millions. Petrol, essential for private vehicles and motorcycles, directly affects the middle and lower-middle class. Meanwhile, diesel price hikes will escalate transportation and agricultural costs, further inflating the prices of essential goods.
