ISLAMABAD, AUG 18: The federal government on Monday increased the petrol price by Rs5.77 per litre and high-speed diesel (HSD) by Rs6.47 per litre for the next 24 hours.
Under the revised rates, petrol will be available at Rs331.2 per litre, while HSD will be priced at Rs390.45 per litre.
The new prices will remain effective for August 18, read the notification.
Meanwhile, the Oil and Gas Regulatory Authority (Ogra) has increased the price of kerosene by Rs6.88 to Rs296.63 per litre.
The Ogra has begun publishing daily petroleum prices on its website to improve transparency and allow international price changes to be passed on to consumers more quickly.
Petroleum Minister Ali Pervaiz Malik said the daily prices are based on a seven-day average of international market prices, in line with international practice.
Revised fuel rates under daily price mechanism:
Effective date Products Old rates New rates
Changes in prices Rs/litre
August 18 Petrol 325.43 331.2 +5.77
August 18 High-speed diesel 383.95 390.45 +6.47
Amid volatility in global oil rates on the back of renewed hostilities in the Middle East, the government decided to switch to a daily fuel price review mechanism.
The government had introduced a weekly fuel price review system after the conflict in the Middle East began on February 28, when Israel and the United States attacked Iran, leading Tehran to shut the Strait of Hormuz — the main route before the war for around a fifth of global energy supplies.
Tensions have mounted since a fragile June truce between Tehran and Washington collapsed, reviving fears of full-scale war and disrupting energy flows through the Strait.
Previously, the petroleum rates were revised fortnightly.
Daily fuel pricing framework
An official document seen by Geo News has revealed key details of the federal cabinet-approved petroleum pricing mechanism, under which Ogra will issue daily ex-depot prices for petrol and high-speed diesel.
Under the new framework, fuel prices will be determined using the average international market prices recorded over the previous seven days.
The regulator will be authorised to announce daily prices without requiring prior approval from the prime minister or the federal government, while prices notified on Fridays will remain unchanged on Saturdays and Sundays.
The document stated that Ogra will publish daily Platts reference prices from July 1, 2026.
It also stipulated that the petroleum levy cannot exceed the limit approved by the federal cabinet, while any change in the levy rate will require approval from the Finance Division.
Import conditions revised
The document further outlined revised fuel import arrangements for fiscal year 2026-27. Imports of high-speed diesel will be routed exclusively through Pakistan State Oil (PSO), while oil marketing companies will be allowed to import petrol in line with their market shares.
Companies failing to meet import obligations or upliftment requirements will not be granted fresh import permissions for up to nine months.
The document also stated that the prices of kerosene oil and light diesel oil would be determined on a daily basis and directed the relevant authorities to ensure the immediate implementation of the new pricing mechanism.
