Petrol will cost Rs390.12 per litre and high-speed diesel Rs414.75 from September 24 under the government’s new daily fuel pricing mechanism.
ISLAMABAD: The federal government has reduced the price of petrol by Rs1.93 per litre and high-speed diesel (HSD) by Rs4.21, citing movements in international oil prices.
Following the latest revision, petrol will be available at Rs390.12 per litre, down from Rs392.05, while HSD will be sold at Rs414.75 per litre, compared with the previous rate of Rs418.96.
According to a notification issued by the Petroleum Division, the revised prices will take effect from September 24, 2026.
New Petrol and Diesel Prices
The latest reduction comes under the government’s daily petroleum pricing mechanism, under which the Oil and Gas Regulatory Authority (OGRA) publishes daily fuel prices on its website.
Effective September 24, the revised rates are:
• Petrol: Rs390.12 per litre, down Rs1.93 from Rs392.05
• High-speed diesel: Rs414.75 per litre, down Rs4.21 from Rs418.96
The new rates reflect movements in international petroleum markets under the government’s revised pricing framework.
Petroleum Minister Ali Pervaiz Malik said daily prices are calculated using a seven-day average of international oil prices, in line with international practice.
Government Introduces Daily Fuel Pricing
The government introduced the daily review mechanism amid heightened volatility in global oil markets following renewed tensions in the Middle East.
Petroleum prices were previously revised on a fortnightly basis. The government subsequently shifted to a weekly review system after the escalation of the Middle East conflict before moving towards daily pricing to allow more frequent adjustments to changes in international crude and petroleum product prices.
Under the federal cabinet-approved framework, OGRA is authorised to determine and announce daily ex-depot prices for petrol and HSD without requiring prior approval from the prime minister or the federal government.
An official document reported by Geo News states that prices are calculated using average international market rates recorded over the preceding seven days.
Friday Prices to Remain Unchanged Over Weekend
The framework also provides that prices notified on Fridays will remain unchanged on Saturdays and Sundays.
OGRA is required to publish daily Platts reference prices, with the mechanism providing for their publication from July 1, 2026.
The new system is designed to provide a more responsive link between international petroleum prices and domestic fuel rates.
Petroleum Levy Remains Subject to Government Limits
The daily pricing framework also places limits on the petroleum levy.
The levy cannot exceed the ceiling approved by the federal cabinet, while any change in its rate requires approval from the Finance Division.
The government says the daily pricing mechanism is intended to improve transparency and allow international petroleum market movements to be reflected more frequently in domestic fuel prices.
The latest reduction means consumers will pay Rs1.93 less per litre for petrol and Rs4.21 less for HSD from September 24.