ISLAMABAD, July 30, 2026: The Petroleum Division has increased the petrol price by Rs1.09 per litre and the diesel rate by Rs2.42 per litre after approval from the Oil and Gas Regulatory Authority (OGRA), according to a notification.
Following the latest revision, the petrol price has been fixed at Rs336.15 per litre, while the diesel rate has been raised to Rs393.04 per litre.
The Petroleum Division issued the notification after OGRA approved the revised petroleum prices.
The new fuel prices will take effect from August 1 and remain in force until the next fortnightly review, unless revised earlier.
The federal government revises petroleum prices every two weeks based on recommendations submitted by OGRA, taking into account fluctuations in international oil prices and the exchange rate.
The latest increase means consumers across Pakistan will pay more for both petrol and high-speed diesel during the upcoming pricing period.
Earlier, Pakistan government approved a new oil refining policy aimed at reducing Pakistan’s reliance on imported fuel and increasing domestic production of petrol and diesel.
The policy is expected to pave the way for around $6 billion in investment in the country’s refining sector. It was developed in consultation with relevant stakeholders, including the Special Investment Facilitation Council (SIFC).
The new framework is designed to modernise ageing refineries, increase the production of petrol and high-speed diesel, significantly reduce furnace oil output, and improve overall fuel quality.
The government believes the policy will strengthen Pakistan’s energy security. To support the production of Euro 5-compliant fuel, refineries will be offered a seven-year incentive package.
Refinery operators will also be required to sign implementation agreements with the Oil and Gas Regulatory Authority (OGRA) within 90 days of the policy’s approval.
The policy includes measures to attract international investment into Pakistan’s refining industry. It also provides protection for refineries against future changes to taxation, environmental legislation and foreign exchange regulations.
Refineries will be allowed to open foreign currency accounts to service external debt obligations. They will also be required to maintain strategic crude oil reserves equivalent to 14 days’ supply.
Refineries that rely on imported crude oil will be required to maintain an additional five-day reserve. Existing refinery operators will have to give up the previous incentive package in order to qualify for the new one.
The policy recommends that no punitive action be taken against refineries that fail to complete their upgrade projects within the prescribed timeframe. It also proposes a 10 per cent regulatory duty on imported petrol and diesel.
Before becoming eligible for the new incentive package, refineries will be required to clear any outstanding Petroleum Levy and Climate Support Levy payments.
The policy further strengthens oversight by requiring legally binding upgrade agreements with OGRA, aimed at improving monitoring, implementation and accountability across the refining sector.
Also Read: Petrol relief programme may see a comeback in Pakistan