Petrol now costs Rs390.79 per litre while high-speed diesel rises to Rs424.92 under the daily petroleum pricing mechanism.
ISLAMABAD, September 18, 2026: The government has reduced the price of petrol by 43 paisas per litre while increasing the price of high-speed diesel (HSD) by Rs3.47 per litre, citing fluctuations in international oil markets.
According to a notification issued by the Petroleum Division, the price of petrol has been reduced from Rs391.22 to Rs390.79 per litre, while HSD has increased from Rs421.45 to Rs424.92 per litre.
The revised prices are effective from September 18, 2026, under the government’s new daily petroleum pricing mechanism.
OGRA publishes daily fuel prices
The Oil and Gas Regulatory Authority (OGRA) has started publishing daily petroleum prices on its website as part of efforts to improve transparency and allow international oil price movements to be reflected more quickly in domestic prices.
Petroleum Minister Ali Pervaiz Malik said daily prices are calculated using a seven-day average of international market prices, in line with international practice.
How daily fuel pricing works
The government introduced the daily review mechanism amid volatility in global oil markets following renewed tensions in the Middle East. The country had previously shifted from fortnightly to weekly fuel price reviews.
Under the federal cabinet-approved framework, OGRA issues daily ex-depot prices for petrol and HSD based on average international prices recorded over the preceding seven days.
The regulator can announce daily prices without prior approval from the prime minister or federal government.
However, prices notified on Fridays remain unchanged on Saturdays and Sundays.
The framework also requires OGRA to publish daily Platts reference prices, with the mechanism applying from July 1, 2026.
The petroleum levy remains subject to the ceiling approved by the federal cabinet. Any change in the levy rate requires approval from the Finance Division.
The new mechanism is intended to enable domestic fuel prices to respond more quickly to international oil market movements while improving transparency in the pricing process.