Sindh government announces Rs 2,000 monthly subsidy for motorcyclists amid rising petrol prices

KARACHI:

The Sindh and Punjab governments are announcing relief measures on Friday, a day after the government further increased petrol prices by Rs 137 per liter to a record high of Rs 458.4. The new petrol price is also much higher than the increase in the international market as Prime Minister Shehbaz decided to increase the petroleum tax to a record high of Rs 160.61 per liter of petrol.

This is the second major increase in fuel prices in less than a month after Prime Minister Shehbaz increased diesel and petrol prices by Rs 55 per liter last month. The cumulative increase in the price of gasoline over one month amounts to 63% and that of fast diesel to 75%.

Sindh announces monthly subsidy for motorcyclists

In response to soaring petrol prices and the ongoing energy crisis, the Sindh government has announced a monthly subsidy of Rs 2,000 for registered motorcyclists across the province. Public transport and goods transport operators will also receive monthly subsidies ranging from Rs70,000 to Rs100,000.

Addressing a press conference in Karachi on Friday, Sindh Chief Minister Murad Ali Shah said the subsidy was aimed at easing the burden on daily commuters as petrol would not be available at lower rates at petrol stations. He added that the application process would be operational within two to three days and the subsidies would be linked to national identity cards and registered motorcycles.

The CM further said that motorcycle transfers would now be free and owners could register their vehicles in their name. “A subsidy of Rs100 per liter will be provided, and the first transfers will be made within 15 days. Each registered motorcyclist will receive Rs2,000 directly,” he added.

Shah advised citizens to check their motorcycle registration on the Excise Department website and said the subsidy was part of a targeted assistance package. He also noted support measures for small farmers, including a minimum wheat price of Rs 3,500 per maund and a subsidy of Rs 1,500 per acre for farmers owning up to 2 million acres, to offset losses caused by rising diesel prices. Payments to farmers will begin on April 6.

CM Murad also said the province would administer the program independently for a one-month trial period, following discussions on a third proposal. He clarified that the final plan includes four components, two of which are administered by the provinces and one by the federal government, but that funding will be provided to the provinces.

He pointed out that Sindh has 6.7 million registered motorcycles, many of which are not registered in the name of the real owner. “We have decided that Rs 100 per motorcyclist will be given as subsidy,” he said.

The chief minister also highlighted coordination with the federal government, noting that provincial leaders participated in a historic meeting chaired by President Asif Ali Zardari to discuss energy imports and subsidy measures. He explained that although subsidies were initially widely extended, IMF guidelines advised targeting aid to those most affected by rising fuel prices.

Shah added that the lengthy deliberations led to the decision to provide targeted subsidies to motorcyclists, small farmers and transport operators to mitigate the economic impact of rising oil prices.

Punjab and Islamabad announce free public transport

Punjab Chief Minister Maryam Nawaz has announced that public transport in all cities of the province will be free.

Under the decision, passengers will not be required to purchase tickets for services such as the Orange Line train, Metro bus, Speedo bus and Electro Green bus.

Additionally, the Chief Minister announced direct financial support to the agriculture sector. Farmers will get a subsidy of Rs 100 per liter of diesel per acre, while motorcyclists will also get a subsidy of Rs 100 on 20 liters of fuel for each registered bike owner.

CM Punjab praised Prime Minister Shehbaz Sharif for maintaining supply and prices of petroleum products for a month despite global pressure, saying “by providing billions of rupees in relief, the Prime Minister made a sincere effort to shield the public from hardship.”

In addition, public transport in the capital will also be free for the next 30 days, on the directive of the Prime Minister, Interior Minister Mohsin Naqvi wrote in the X message.

According to the minister, the initiative will come into effect on Saturday (tomorrow) and aims to provide relief to the general public amid growing economic pressures.

He added that the Ministry of Interior will bear the cost of the project, estimated at Rs350 million.