Islamabad:
Thursday, the government reduced the price of gasoline by 7.54 rupees per liter while increasing that of high -speed diesel (HSD) by RS1,48 per liter for the next fortnight.
The increase in HSD prices will come into force compared to August 1, 2025. However, it reduced the price of gasoline for the next fortnight which will remain in force until August 15.
The Ministry of Finance in a statement said that the Pakistan Government Finance Division announced new petroleum products prices that will be in force from August 1, 2025.
He said the price changes were determined after examining international market trends and considered the recommendations of the Oil and Gas Régulation Authority (OGRA) and other relevant ministries.
According to the press release, the price of the HSD experienced an increase of RS1.48 per liter, bringing the new price to Rs285.83. The existing price was RS284.35 per liter.
The government has decreased the price of gasoline by 7.54 rupees per liter. Petrol will now be available at the new RS264.61 price per liter. The previous price was RS272.15 per liter. These revised prices will be in force for the next fortnight.
Earlier, consumers had witnessed a massive increase in petroleum products because the government had increased the price of the HSD by 10.39 rupees per liter from July 1, 2025.
High -speed diesel is widely used in the agriculture and transport sectors. Therefore, a new increase in its price will result in an inflationary impact for consumers.
Farmers use this fuel for tractors while the transport sector also uses it. Consequently, the cost of transport goods would increase, resulting in higher inflation across the country.
The government has also increased the price of gasoline by 8.36 rupees per liter from July 1.
Essence is used in motorcycles and cars and is considered an alternative to compressed natural gas (GNC).
The public gas services had stopped the supply of native gas to GNC stations, in particular in the province of Punjab and, therefore, these CNG points of sale had used imported gas for a decade.
The recent reduction in petrol price is a great relief for motorcycles and cars.
Pakistan is a net oil importer and imports around 85% of the total petroleum products to meet internal needs. Local oil and gas exploration companies produce crude oil to meet 15% of total oil needs.
Consequently, the fluctuation of world oil prices also has an impact on the domestic oil prices.
Consumers also pay a higher tax in the form of petroleum withdrawal from petroleum products.
LPG price
The oil and gas regulation Authority (OGRA) has also considerably reduced the price of liquefied oil gas (LPG) for the month of August 2025 in order to relieve consumers in the midst of continuous inflationary pressures.
According to the latest notification issued by the authority, the regulator has set a new consumption price of GPL to RS2,541.36 for a national cylinder of 11.8 kg from August 1, 2025 with a reduction of RS209.24 or 7.6% compared to the rate of RS2,750.60 of RS.
The price of the producer LPG is also reduced by RS191.802.01 per tonne in July to Rs174 069.26 per tonne in August, reflecting a similar decrease of RS17,732,75. The decline results in a reduction in RS17.73 per kg of the LPG consumption price.
OGRA said that the drop in prices is mainly based on a 9.8PC drop in the price of the Saudi Aramco (CP) contract, which serves as a reference for local LPG prices. Although the average exchange rate of the US dollar recorded a marginal increase of 0.38% during the same period, it was not enough to compensate for the downward trend in international LPG prices.
