Lead

The Pakistani government has raised the price of petrol by Rs14.92 per litre and high-speed diesel (HSD) by Rs15, effective from May 9, according to a press release from the Petroleum Division. This marks the second consecutive weekly increase, following a hike effective May 1 that raised petrol by Rs6.51 and HSD by Rs19.39 per litre.

Coverage Comparison

Dawn, Pakistan's leading English-language daily, reported both price adjustments. The May 9 increase brings petrol to Rs414.78 per litre and HSD to Rs414.58. The earlier May 1 increase had set petrol at Rs393.35 and HSD at Rs380.19.

The May 1 report also addressed widespread rumours of petrol station closures due to an alleged fuel shortage. The Petroleum Division issued a statement on X (formerly Twitter) calling such reports "fake propaganda" and assuring the public that "the supply of petroleum products will continue uninterrupted." The All Pakistan Petrol Pump Owners Association (APPPOA) also refuted strike rumours as "baseless," with vice chairperson Noman Ali Butt quoted as saying there was no truth to the rumours.

Key Claims

  • The government raised petrol prices by Rs14.92 per litre and HSD by Rs15, effective May 9, as reported by Dawn.
  • The price of petrol now stands at Rs414.78 per litre, and HSD at Rs414.58, according to the same report.
  • The previous week's increase, effective May 1, raised petrol by Rs6.51 and HSD by Rs19.39, with new prices of Rs393.35 and Rs380.19 respectively.
  • Petrol is primarily used in private transport, small vehicles, rickshaws, and two-wheelers, directly affecting the budgets of middle and lower-middle-class households, as noted in Dawn's reporting.
  • High-speed diesel is mainly used in the heavy transport sector and for large generators.
  • The government has been revising petroleum prices weekly on Friday nights following the now-paused US-Israeli war on Iran, which began on February 28 and led to a global fuel crunch due to the closure of the Strait of Hormuz, through which one-fifth of the world's oil and gas supply used to pass in peacetime.
  • The Petroleum Division and the APPPOA both denied reports of petrol pump closures, with the division stating that supply would remain uninterrupted and the association calling strike rumours "baseless."

Context

The price hikes come amid a broader pattern of fuel price adjustments since the onset of the US-Israeli war on Iran. Dawn reported that the government initially hiked petrol and diesel prices by Rs55 per litre on March 6, followed by austerity measures on March 9. Prime Minister Shehbaz Sharif later said he had rejected recommendations to increase fuel prices on three occasions despite global market rises. On April 2, Petroleum Minister Ali Pervaiz Malik and Finance Minister Muhammad Aurangzeb announced an unprecedented increase of 43 per cent for petrol and 55 per cent for HSD, along with a targeted fuel subsidy programme. The next day, PM Shehbaz slashed the petroleum levy by Rs80 per litre, bringing petrol down to Rs378. On April 10, he further reduced diesel and petrol prices by Rs135 and Rs12 per litre, respectively.