OGRA to Set Petroleum Prices on a Daily Basis Under Deregulation Plan, Says Petroleum Minister

ISLAMABAD: Federal Minister for Petroleum Ali Pervaiz Malik has announced that the government has decided to introduce a daily pricing mechanism for petroleum products, under which the Oil and Gas Regulatory Authority (OGRA) will determine fuel prices every day based on international market trends.

Speaking at a joint press conference with Federal Minister for Information and Broadcasting Attaullah Tarar, Ali Pervaiz Malik said that the prime minister and the federal cabinet had approved the move as part of the government’s plan to gradually deregulate the petroleum sector.

He said OGRA would calculate petroleum prices on a daily basis and publish the updated rates on its official website. Any increase or decrease in international oil prices would be passed on directly to consumers.

The petroleum minister noted that rising regional tensions have once again pushed global oil markets into volatility, leading to a sharp increase in diesel prices. He said international diesel prices had risen from $110 to $140 per barrel, putting additional pressure on domestic fuel pricing.

Malik said the federal government had utilized Rs. 130 billion in resources to cushion the impact of higher fuel prices on the public. He added that the government continues to provide targeted subsidies and has avoided placing any additional financial burden on consumers. He also stated that the current levels of the petroleum levy and carbon support levy are lower than before.

The minister said it was important for the public to understand the reasons behind fuel price adjustments, emphasizing that Pakistan’s fuel market is being moved toward deregulation in line with international pricing mechanisms. He also revealed that the Refinery Upgrade Policy has been submitted to the cabinet committee for consideration.

Ali Pervaiz Malik further warned that strict action would be taken against profiteering and hoarding in the oil sector.

Speaking on the occasion, Information Minister Attaullah Tarar said that increasing regional tensions have contributed to higher petroleum prices in the global market. He added that the government had secured oil cargoes from multiple countries to meet Pakistan’s energy requirements and ensure that the country did not face any fuel shortages despite the challenging international situation.