The federal and provincial governments are reportedly planning another major increase in petroleum prices within the coming week with the aims to pass on part of the landed import costs to general consumers while continuing to provide subsidized petrol and diesel to targeted groups such as bikers and farmers.
Currently, the price gap stands at roughly Rs100 per liter for petrol and over Rs200 per liter for diesel.
Authorities are still deliberating whether to transfer the full petrol price adjustment and half of the diesel gap to consumers, with a final decision expected after the Petroleum Division and OGRA submit updated calculations on Friday.
Over the past three weeks, the federal government has already provided approximately Rs129 billion in subsidies on these fuels, with the ceiling set at Rs158 billion.
Estimates suggest that the current pricing measures could require provincial subsidies of Rs15–18 billion per week. Even if weekly requirements rise to Rs30 billion, the cost could be jointly absorbed over the next three months, up to the fiscal year-end on June 30.
Provinces have agreed not to raise fares for Bus Rapid Transit (BRT) systems, though concerns remain about disparities for populations outside major cities.
