Government Lowers Petrol, Diesel Prices

ISLAMABAD: The federal government on Monday announced another reduction in petroleum prices under its revised daily pricing mechanism, lowering petrol by Rs4.08 per litre and high-speed diesel (HSD) by Rs2.45 per litre for August 4, 2026.

According to the Ministry of Energy (Petroleum Division), the Oil and Gas Regulatory Authority (OGRA) revised the ex-depot prices of petroleum products in line with the federal government's daily fuel pricing policy.

Under the latest notification, the ex-depot price of petrol has been reduced from Rs336.03 to Rs331.95 per litre, reflecting a Rs4.08 per litre decrease.

Likewise, the ex-depot price of HSD has been cut from Rs392.38 to Rs389.93 per litre, a reduction of Rs2.45 per litre.

The government has kept the petroleum levy, Inland Freight Equalisation Margin (IFEM), Oil Marketing Company (OMC) margin, dealer margin, and Climate Support Levy unchanged for both petrol and diesel.

The revised fuel rates will remain applicable on August 4, 2026, replacing the prices that had been in effect since August 1, 2026.

The adjustment has been made under Pakistan's daily petroleum pricing mechanism, through which OGRA reviews and updates ex-depot fuel prices every day based on international market trends and the government's pricing framework.

The latest price cut is expected to provide modest relief to motorists and transport operators. However, diesel remains considerably more expensive than petrol, continuing to impact freight charges, transportation costs and overall inflation.