Govt slashes petrol by Re0.50, diesel by Rs5.31 for next fortnight

• Prices slashed in line with global oil rates.
• Petrol will now be available for Rs255.63.
• HSD reduced from Rs263.95 to Rs258.64. 

ISLAMABAD: The federal government has reduced the price of petrol by Re0.50 per litre for the next fortnight "in view of recent fluctuations in the international oil market".

According to a notification issued by the Finance Division, petrol will now be available for Rs255.63 per litre, down from Rs256.13.

The official notification said the new fuel prices will be effective from March 1.

Similarly, the price of high-speed diesel (HSD) has been reduced from Rs263.95 to Rs258.64 after a reduction of Rs5.31 per litre.

"The Oil & Gas Regulatory Authority (OGRA) has reviewed and adjusted consumer prices for petroleum products in view of recent fluctuations in the international oil market," stated the notification. 

Meanwhile, prices of other petroleum products have also been reduced.

The new price of kerosene oil will be Rs168.12, down by Rs3.53 from Rs171.65 per litre. Likewise, the price of light-diesel oil has been reduced by Rs2.47 from Rs155.81 to Rs153.34 per litre. 

Petrol is mainly used in private transportation, small vehicles, rickshaws, and two-wheelers. Higher fuel prices significantly impact the budgets of the members of the middle and lower-middle classes, who primarily consume petrol for commuting.

On the other hand, a significant portion of the transport sector relies on high-speed diesel.

Its price is considered inflationary since it is predominantly used in heavy goods transport vehicles, trucks, buses, trains, and agricultural machinery such as tractors, tube wells, and threshers. The consumption of high-speed diesel particularly contributes to the increased prices of vegetables and other food items.