Motorcyclists, rickshaw drivers to get petrol relief in Pakistan

ISLAMABAD: The federal government is working on a relief package for motorcycle riders and rickshaw drivers following a sharp increase in petrol prices that has placed a heavy burden on the public.

Briefing the Senate Standing Committee on Petroleum on Monday, Secretary Petroleum Hamed Yaqoob Sheikh said the government is considering measures to provide relief to low-income commuters, particularly motorcyclists and rickshaw drivers.

The committee meeting was informed that the recent increase in petroleum prices was aimed at preventing hoarding and ensuring continued imports by oil marketing companies.

The secretary said the move did not benefit oil marketing companies but helped maintain the supply of petroleum products across the country.

He added that tensions in the Middle East have disrupted petroleum supply routes, noting that around 70 percent of Pakistan’s oil imports come from the region.

According to the briefing, petrol stocks in the country are sufficient for 27 days, while diesel reserves will last for 21 days.

Crude oil stocks are available for 11 days, while liquefied petroleum gas (LPG) and liquefied natural gas (LNG) reserves are sufficient for about nine days. The country also has JP-1 (jet fuel) reserves for 14 days.

During the meeting, Senator Hidayatullah asked officials to explain the petroleum price hike after March 7.

Officials of the Oil and Gas Regulatory Authority (OGRA) informed the committee that diesel prices witnessed about 100 % increase, while petrol prices rose by nearly 70 %.

The petroleum secretary said the government has taken several measures to generate savings, which will be used to provide relief to the public.

Earlier, the government increased the price of kerosene oil by Rs39.20 per litre while keeping petrol prices unchanged for the week ending March 20.

With fresh price notification, Kerosene, commonly described as the poor man’s fuel, has become the most expensive consumer product at Rs358 per litre and has seen the highest increase among all fuels since March 7.

According to the Ministry of Energy, the Pakistan government will pay Rs23 billion in price differential subsidy for payments to oil marketing companies (OMCs) to keep the petrol prices unchanged despite hike in international market.