In a petroleum minister statement in Islamabad, Federal Minister for Petroleum Ali Pervaiz Malik said Pakistan’s oil refineries had agreed to bear a burden of about Rs15 billion a month so consumers would not face a steep petrol price jump. Speaking at a joint press conference with Information Minister Attaullah Tarar, he linked the deal to claims that refineries earned more profit in three months of the Iran-US war than in a full year, and to a sharp rise in import premiums.
Why refineries are sharing the cost
Malik said petrol import premiums had risen from around $5 a barrel before the conflict to about $20, while later Pakistan State Oil (PSO) tenders drew premiums of $25–30 a barrel. He estimated that refineries would shoulder roughly Rs15 billion each month to block a Rs15-per-litre increase that had been due on petrol on Friday.
“I am grateful that they listened to our appeal and absorbed roughly a Rs15 increase that was coming due for petrol on Friday, helping the government maintain prices,” he said. The government had asked refineries to help cover higher international prices, freight, insurance and other supply-chain costs. He added that higher throughput during the conflict had boosted refinery earnings, and that they had been asked to support the public “during this difficult time.”
How the temporary pricing cap works
On 30 October the federal cabinet approved a revised petrol pricing mechanism. It amended the import-parity approach that had let local refineries charge the same premium on domestic product as PSO paid on imported petrol. Under the temporary rules, the premium, incidentals and customs duty used to set ex-refinery petrol prices are capped at their 7 March 2026 pre-war levels for 30 days.
The gap between the import-linked price and the capped ex-refinery price is to be surrendered by refineries through the petroleum levy account, with the saving passed to consumers as lower pump prices. Malik said the government still wanted to return to deregulation and speed up refinery upgrades once regional conditions settled, and that decisions would be taken “with consultations, keeping the public’s interests in mind, in a fair way.”
Short-term pump rates and other fuel notes
Separately, the government cut petrol by Rs3.40 a litre and high-speed diesel (HSD) by Rs7.76 a litre for three days. Petrol is to sell at Rs374.51 a litre and HSD at Rs395.20 a litre, under an Oil and Gas Regulatory Authority (OGRA)—Pakistan’s fuel-price regulator—notification in force until 3 November. OGRA has also begun publishing daily petroleum prices on its website; Malik said those rates follow a seven-day average of international prices.
Tarar ruled out fuel shortages, saying existing supplies could meet demand. He said more than 15 million consumers had registered for the government’s subsidised petrol scheme, through which Rs27 billion in relief had been given. In the same petroleum minister statement, Malik rejected reports that liquefied petroleum gas (LPG) had reached Rs700 a kilogramme and said the government would act against irregularities. On piped gas, he said November supplies were arranged while work continued on December and January.
Timeline: what has happened so far
- 7 March 2026: Pre-war levels for premium, incidentals and customs duty become the temporary cap for local-refinery petrol pricing.
- Iran-US conflict period: Import premiums rise from about $5 to $20 a barrel; later PSO tenders see $25–30; authorities cite strong refinery profits over three months.
- 30 October 2026: Federal cabinet approves the revised petrol pricing mechanism and the 30-day cap.
- Friday (price review): A roughly Rs15-per-litre petrol increase was due; refineries agree to absorb the cost, per Malik.
- Early November 2026: Petrol cut Rs3.40 to Rs374.51 and HSD cut Rs7.76 to Rs395.20, effective until 3 November; OGRA posts daily prices.
Aasan alfaaz mein
Petroleum minister ne kaha hai ke oil refineries har mahine lagbhag 15 arab rupay ka bojh uthayengi. Is se petrol ke daam mein jo 15 rupay ka izafa ho sakta tha, woh rokne ki koshish hai. Sath hi petrol 3.40 rupay sasta kiya gaya hai aur diesel bhi kam kiya gaya hai, kuch din ke liye. Aam logon ke liye matlab yeh hai ke pump par petrol itna tezi se mehnga nahi hona chahiye jitna international rates se lag raha tha.
