Refineries agree to absorb Rs15 per litre petrol price increase
Relief worth Rs27 billion has been provided and more than 15 million people have registered under the Prime Minister's Fuel Relief Scheme.
Pakistan's oil refineries have agreed to absorb a Rs15-per-litre increase in petrol prices at the government's request, the state broadcaster Radio Pakistan reported on Monday.
Information Minister Attaullah Tarar said the increase was due to take effect on Friday, but Prime Minister Shehbaz Sharif's instructions shifted the additional burden onto refineries.
Tarar made the remarks at a news conference in Islamabad alongside Petroleum Minister Ali Pervaiz Malik, who said the government had asked local refineries to absorb the expected rise instead of passing it on to the public.
Tarar said it had been Prime Minister Shehbaz Sharif's vision to minimise the burden of rising petroleum prices on the public.
He said Pakistan's economy had been affected by the regional situation, particularly developments around the Bab al-Mandab and the Strait of Hormuz, but the country's macroeconomic indicators remained stable.
Tarar said more than 15 million people had registered under the Prime Minister's Fuel Relief Scheme, and relief worth Rs27 billion had been provided so far.
He described the large number of registrations and the supply of petroleum products at subsidised rates as a major indication of the scheme's success.
Tarar said the scheme would continue to provide relief during the prevailing difficult circumstances.
Under the scheme, consumers using motorcycles, Qingqi rickshaws and vehicles up to 800cc can obtain fuel at subsidised rates, the information minister said.
Malik thanked the refineries for supporting the government in this difficult time.
Malik said the government is committed to protecting consumers from the impact of rising international oil prices and would move towards deregulating the petroleum sector once market conditions return to normal.
