ISLAMABAD, MAR 15: Prime Minister Shehbaz Sharif has decided to keep petroleum product prices unchanged for the next fortnight and divert the relief from a decrease in petrol prices in the international market towards a notable downward revision in the power tariff for the masses.
The federal government aims to maintain petroleum product prices and transfer the full financial benefit to the masses through power tariff, the PM Office said in a statement on Saturday.
The move will be one of many steps taken by the government to achieve a meaningful reduction in the electricity rates, the premier said.
A package is being prepared under a comprehensive and effective strategy to slash power prices, PM Shehbaz said, adding that the details of the relief measure for the public are being finalised by utilising the financial space created due to fluctuations in global oil prices.
The statement added that the power tariff reduction package would be unveiled in the coming weeks.
The premier said his administration remains committed to prioritising public relief since coming into power.
He expressed his aim to provide further relief for the masses alongside the power tariff reduction.
“The relief will not only reduce electricity prices but will also have a broader impact on inflation, leading to a further decrease,” said the premier.
The PM will address the nation to announce the major relief measure.
Before this development, it was learnt that the country was expected to slash petroleum product prices by up to Rs14 in the upcoming fortnightly review due on March 15.
The price of petrol was likely to be reduced by Rs14 per litre, while high-speed diesel (HSD) may see a cut of Rs8 per litre, oil companies’ sources told Geo News two days ago.
Likewise, the sources said the kerosene and light diesel oil could be slashed by Rs10 and Rs7 per litre, respectively.
However, the final price will be determined based on the fluctuations in the global oil prices over the next three days, they said.
On February 28, the federal government reduced the price of petrol by Re0.50 and that of the HSD by Rs5.31 for the next fortnight ending March 15.
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.
