OGRA will announce updated ex-depot prices every day on its website without requiring prior approval.
ISLAMABAD: Federal cabinet has approved a new pricing mechanism for petroleum products under which the prices of petrol and high-speed diesel will be revised on a daily basis, replacing the existing periodic adjustment system.
Under the new framework, the Oil and Gas Regulatory Authority (OGRA) will announce updated ex-depot prices every day on its website without requiring prior approval from the federal government. However, fuel prices will remain unchanged on Saturdays and Sundays.
The cabinet approved linking petrol and diesel prices to the seven-working-day average of international market prices. Petrol prices will be determined based on import costs and premiums, while in the absence of imports, an annual average premium will be applied.
Diesel prices will also be calculated using import costs and the seven-day average.
The decision states that the petroleum levy will not exceed the limit approved by the cabinet, while any changes to the levy will require authorization from the Ministry of Finance.
To enhance transparency, OGRA has also been directed to publish daily international Platts reference prices on its website.
The cabinet further approved that during fiscal year 2027, only Pakistan State Oil (PSO) will be allowed to import high-speed diesel.
Oil marketing companies (OMCs) will be permitted to import petrol according to their market share, while companies violating import conditions could face disqualification from imports for up to nine months.
More read, Petrol, diesel prices increased in nationwide fuel price revision
In addition, the prices of kerosene oil and light diesel oil will also be determined on a daily basis, with OGRA instructed to implement the new pricing system immediately.
