Pakistan Begins Daily Fuel Price Revisions

ISLAMABAD: Pakistan implemented its new daily fuel pricing system on Monday, increasing the ex-depot price of high-speed diesel (HSD) by Rs5.71 per litre to Rs360.06, while cutting the price of petrol by 35 paisas to Rs315.80 for July 21.

The notification marks the first occasion on which petroleum prices have been announced for just one day since the government introduced the daily pricing framework.

The previous price notification, issued on July 18, remained valid for three days, covering the period from July 18 to July 20.

Read This: Pakistan introduces daily fuel pricing: Here's how the new system operates.

According to the Ministry of Energy (Petroleum Division), the Oil and Gas Regulatory Authority (OGRA) revised ex-depot fuel prices for July 21 under the newly adopted pricing mechanism.

Under the revised rates, the ex-depot price of HSD climbed from Rs354.35 to Rs360.06 per litre, while petrol (motor spirit) fell slightly from Rs316.15 to Rs315.80 per litre.

The latest revision signals the government's move away from the long-standing fortnightly pricing model in favor of daily adjustments aimed at aligning local fuel prices more closely with international oil market trends and fluctuations in the exchange rate.

The diesel price hike may have wider economic consequences because HSD is extensively used by heavy-duty transport, freight vehicles, buses, tractors, tube wells, railway operations, and agricultural equipment.

An increase in diesel costs often raises transportation and farming expenses, which can eventually drive up the prices of food and other everyday commodities.

Petrol is primarily used by motorcycles, cars, rickshaws, and other privately owned vehicles. Although its price has been reduced by 35 paisas per litre, the decrease is minimal and is expected to provide only limited financial relief to consumers.