The subsidy requirement is estimated at Rs15-18 billion per week, which could rise to Rs30 billion.
The price gap is estimated at around Rs.100 per litre for petrol and over Rs.200 for diesel
( Web News )
The federal government, in consultation with provinces, is set to further increase petrol and diesel prices within days as it moves to pass on rising global import costs to consumers.
A high-level meeting led by Finance Minister Muhammad Aurangzeb, attended by all four chief ministers and senior officials, reviewed the situation. Officials said the final price hike will depend on global market trends, with even a full pass-through of international prices under consideration.
Currently, the price gap is estimated at around Rs100 per litre for petrol and over Rs200 for diesel. A decision is expected after updated calculations from OGRA and the Petroleum Division. The federal government has already spent Rs129 billion on fuel subsidies in the past three weeks and plans to cap it at Rs158 billion.
President Asif Ali Zardari and Prime Minister Shehbaz Sharif have asked provinces to share the subsidy burden. Punjab and Sindh will contribute based on population, while KP and Balochistan will share costs based on fuel consumption.
All provinces agreed to provide targeted relief. Motorcyclists and three-wheeler users will receive subsidised fuel under a uniform national plan. Sindh will support farmers through its Hari card system, while Punjab and KP will adopt similar models.
The subsidy requirement is estimated at Rs15-18 billion per week, which could rise to Rs30 billion. Provinces also agreed not to increase BRT fares, though concerns remain about the impact on people outside major cities.