The federal government of Pakistan announced a marginal reduction in petrol and high-speed diesel (HSD) prices, cutting both by Rs 1.97 per litre, effective from Saturday, July 4, 2024. The new ex-depot prices will remain in place until the next fortnightly revision, according to a press release from the Petroleum Division.
New Prices Effective July 4
Following the decrease, petrol will be sold at Rs 297.53 per litre, down from the previous Rs 299.5 per litre. High-speed diesel has been reduced to Rs 309.50 per litre from Rs 311.47 per litre. The revised prices take effect from today and will be applicable until the next price adjustment.
Petrol is primarily used in private transport, small vehicles, three-wheelers, and two-wheelers, while high-speed diesel is predominantly consumed by the heavy transport sector, including trucks and buses.
Recent Price Trends
In the preceding week ending June 27, the government had maintained petrol and HSD prices unchanged. Prior to that, for the week ending June 19, the government announced a significant reduction of Rs 74.28 per litre for petrol and Rs 67.31 per litre for diesel. On June 12, petrol was cut by Rs 4 per litre while diesel prices were kept steady. The week before June 5 saw a reduction of Rs 22 per litre for both fuels, and in late May, petrol was reduced by Rs 6 per litre and diesel by Rs 6.8 per litre.
For the week ending May 22, the government reduced both petrol and diesel by Rs 5 per litre. However, on May 15, prices were increased by Rs 14.92 per litre for petrol and Rs 15 per litre for diesel.
Historical Context of 2024 Price Hikes
Earlier this year, on March 6, the federal government implemented a historic increase of Rs 55 per litre for both petrol and diesel. This pushed petrol to Rs 321.17 per litre from Rs 266.17, and HSD to Rs 335.86 per litre from Rs 280.86.
On April 2, prices were further raised by Rs 137.23 per litre for petrol and Rs 184.49 per litre for diesel, taking petrol to Rs 458.5 per litre and diesel to Rs 520.35 per litre. However, the next day, the government slashed the petroleum levy on petrol by Rs 80 per litre, bringing the price down to Rs 378 per litre.
Subsequent adjustments included a reduction on April 10 by Rs 134.81 per litre for diesel and Rs 11.83 per litre for petrol. On April 24, both fuels were increased by Rs 26.77 per litre, followed by a further hike on April 30 of Rs 6.51 per litre for petrol and Rs 19.39 per litre for diesel.
The latest reduction brings some relief to consumers, though prices remain elevated compared to earlier in the year.
