Petroleum Minister Ali Pervaiz Malik said diesel prices have recorded a significant increase in global markets as renewed conflict in the Middle East continues to fuel uncertainty over energy supplies.
The federal government has decided to conduct daily reviews of petroleum prices in response to the sharp rise in global oil prices, Petroleum Minister Ali Pervaiz Malik announced on Friday.
Speaking at a joint press conference with Information Minister Attaullah Tarar, Malik said the move had been approved by Prime Minister Shehbaz Sharif and endorsed by the federal cabinet to enable a quicker response to fluctuations in international fuel markets.
Renewed military strikes in the Middle East continued to weigh on investor sentiment, driving oil prices higher and reviving concerns over inflationary pressures and slowing global economic growth.
Brent crude futures rose 0.6% to $84.75 a barrel, while US West Texas Intermediate (WTI) crude gained 1.1% to $79.80 per barrel, supported by fears that escalating regional tensions could disrupt global energy supplies.
Ali Pervaiz Malik said the Oil and Gas Regulatory Authority (Ogra) would now review fuel prices on a daily basis, with revised rates to be published on the regulator’s official website.
The petroleum minister said renewed tensions in the Middle East had intensified uncertainty in global energy markets, adding that international diesel prices had surged following the latest escalation in hostilities, climbing from around $110 per barrel to nearly $140 per barrel.
Malik said the government would continue its targeted fuel subsidy programme but acknowledged that rising international oil prices were still placing a financial burden on consumers.
Ali Pervaiz Malik said the government had kept petroleum and carbon support levies on petrol and diesel below previous levels, while efforts were also underway to move towards the deregulation of petroleum products.
Addressing the press conference, Information Minister Attaullah Tarar linked the recent rise in domestic fuel prices to ongoing regional tensions and volatility in global oil markets.
He said Pakistan’s energy needs were being fulfilled through imported fuel shipments from different countries and emphasized that the country had avoided any energy shortages due to the government’s policies.
Tarar said oil marketing companies (OMCs) were functioning under strict regulatory supervision and warned that authorities would take action against any attempts to hoard fuel or create artificial shortages.
He added that immediate adjustments in petroleum prices in response to international market changes were common practice worldwide.
The latest move towards daily fuel price reviews follows the government’s earlier decision to shift to weekly adjustments after tensions escalated in the region following the US-Israel conflict with Iran on February 28.
In the previous price revision, petrol and high-speed diesel (HSD) prices were increased by Rs13.18 and Rs13.80 per litre, respectively, raising petrol prices to Rs310.71 per litre and diesel prices to Rs323.30 per litre.
