The government on Thursday sharply increased petroleum prices, raising petrol to Rs458.41 per litre and high-speed diesel (HSD) to Rs520.35 per litre.
The announcement was made at a press conference by Petroleum Minister Ali Pervaiz Malik alongside Finance Minister Muhammad Aurangzeb.
The latest hike marks a significant jump from the previous notified prices earlier in March, when petrol was priced at Rs321.17 per litre and HSD at Rs335.86 per litre, indicating an increase of over Rs137.24 per litre in petrol, and Rs184.49 per litre in HSD.
Aurangzeb also announced a targeted relief measure, saying motorcycle users would receive subsidised petrol at Rs100 less per litre for up to 20 litres.
The increase comes amid a sharp surge in global oil prices. Brent crude was trading at around $109.12 per barrel at 1302 GMT on Thursday, up nearly 7.9%, while US West Texas Intermediate (WTI) crude rose 12.5% to $112.60 per barrel, hitting its highest level since March 9.
Despite the recent spike, international oil prices remain below earlier highs of around $120 per barrel recorded during the ongoing conflict.
At the outset of the presser, Maik thanked President Asif Ali Zardari, the chief ministers of all provinces, and the leadership of the ruling party’s allies for their guidance at this “critical time.”
He said energy prices had skyrocketed in the global market due to the ongoing Middle East war. “It has not just engulfed the entire region but the entire world as well,” he added.
The minister stressed the need for discipline and unity at this time, expressing the hope that the “difficult and responsible” decisions that the government had taken today would be seen in the context of the situation in the Middle East.
For the past two weeks, Prime Minister Shehbaz Sharif had rejected summaries to increase petrol prices.
Addressing the nation last Friday, the premier said he had turned down a proposal to raise the petrol price by Rs95 per litre and the diesel price by Rs203 per litre.
“This week, I was again presented with a proposal to raise petrol prices by Rs95 per litre and high-speed diesel by Rs203 per litre. I have rejected this summary,” he had said.
He said the government would not pass the burden to the public and would instead bear the additional cost of around Rs56 billion itself.
This marks the second price revision in prices of petroleum products in less than a month.
On March 6, the government announced a hike of Rs55 per litre in the prices of petrol and diesel in line with increasing international oil prices after the US and Israel attacked Iran and Tehran retaliated with attacks on Israel as well as US bases in the region. Iran also announced to close the crucial Strait of Hormuz, a waterway between the Persian Gulf and the Gulf of Oman.
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