ISLAMABAD: The government is set to announce a major reduction in the price of diesel after successful talks with oil refineries, with the cut expected to be around Rs.30 to Rs.32 per litre.
Petroleum Minister Ali Pervez Malik said on Thursday that refineries had accepted the government’s request for a significant reduction in diesel prices. He said the Oil and Gas Regulatory Authority (OGRA) would announce the revised price after completing its calculations.
Addressing a press conference alongside Information Minister Attaullah Tarar, Malik said consumers would see a substantial reduction in diesel prices within the next few moments.
“The refineries have accepted the government’s request and decided to make a significant reduction in diesel prices,” the minister said.
The announcement comes as the government seeks to provide relief to consumers amid rising fuel costs and economic pressures linked to the ongoing war in the Middle East.
Malik said the government was aware of the hardships faced by the public and was taking all possible measures within its limited financial resources to ease the burden.
He said Prime Minister Shehbaz Sharif had personally requested oil refineries to provide relief to the people by reducing diesel prices.
According to the petroleum minister, the government has already taken several measures to protect consumers despite operating under the International Monetary Fund (IMF) programme.
Malik said the government had spent more than Rs100 billion to shield the public from the impact of the crisis. Consultations were also held with provincial governments, while targeted subsidies had been introduced to support affected segments.
The minister also highlighted challenges in the international diesel market. He said the global diesel crack margin — the difference between refined product prices and crude oil prices — had again reached between $60 and $70, increasing pressure on fuel markets.
He added that the war situation in Russia had affected diesel availability, despite the country being an oil producer.
Malik assured citizens that the difficult period would eventually pass and said the government would use available fiscal space to maintain fuel supplies and provide maximum relief.
The final diesel price will be announced by OGRA after completing its calculations.
