In a move that could relieve the inflation-stricken public, the government is poised to reduce fuel prices, potentially decreasing up to Rs14 per litre for petrol.
The anticipated cut, influenced by crude oil trading at $82.5 per barrel, is expected to take effect from May 16. Additionally, diesel prices may be reduced up to Rs10 per litre.
This adjustment would mark the second consecutive reduction this month. Effective May 1, 2024, motor spirit (MS) prices were lowered from Rs293.94 to Rs288.49 per litre, and diesel dropped from Rs290.38 to Rs281.96 per litre.
Should the new reductions be approved, petrol and diesel prices could decrease to approximately Rs274 and Rs271 per litre, respectively.
These preliminary estimates are based on the last ten days of international petroleum product trading. Final decisions on the reductions will be solidified in the next two days and implemented following approval from the prime minister.
The global decline in petrol prices reflects a positive market trend. Sources within the government and industry suggest that refineries and oil marketing companies in Pakistan anticipate an increase in petroleum product consumption starting May 16. This expectation is partly due to the cessation of smuggled petroleum product inflows from Iran over the past ten days.
