Petrol price up by Rs2.97: Major cut in diesel price announced

Business Recorder reported that the Petroleum Division has cut high speed diesel prices by Rs32.63 per litre, a drop of 8.1 percent, starting August 20. The new HSD rate is Rs363.06 per litre, down from Rs395.69, after talks with local refineries. Petrol moved in the opposite direction, rising Rs2.97 per litre to Rs337.51, and the revision was described as relief for transporters and farmers.

Petroleum Minister Ali Pervez Malik said talks with refineries would bring diesel down by between Rs30 and Rs32 per litre, after Prime Minister Shehbaz Sharif sent him to Karachi to negotiate directly. The petroleum levy on HSD was raised by Rs2 to Rs80 per litre, while the levy on petrol stayed at Rs80 per litre. Under the daily framework, Ogra sets rates using exchange rate moves and a seven-day average of international prices.

From September 1, 2026, the dealers margin will rise by Rs1.34 per litre, lifting the fixed margin to Rs9.98 per litre from Rs8.64. The Economic Coordination Committee approved the increase, which also helped avert a possible countrywide walkout called by the Pakistan Petroleum Dealers Association.