Govt lowers petrol price by Rs0.43 per litre, raises HSD by Rs3.47 per litre

Govt lowers petrol cost by Rs0.43 per litre, raises HSD by Rs3.47 per litre.

Key points

• News Desk Published September 17, 2026 Updated September 18, 2026 12: 02am.
• The petrol cost had peaked at Rs458.41 on April 3 after beginning its upward trajectory from Rs266 in the first week of March.
• After the revision, petrol will retail at Rs390.79 per litre while HSD will cost Rs424.92 per litre.
• The cost of HSD has come down from a peak of Rs520.35 recorded on April 3.
• According to the Petroleum Division's notification, the new rates will be applicable on Sept 18 (Friday).

News Desk Published September 17, 2026 Updated September 18, 2026 12: 02am. Join our Whatsapp Channel. Add Dawn as a trusted source.

In practice, the administration on Thursday cut the rate of petrol by Rs0.43 per litre but raised that of high-speed diesel (HSD) by Rs3.47 per litre.

After the revision, petrol will retail at Rs390.79 per litre while HSD will cost Rs424.92 per litre. The administration continues to levy Rs114 per litre in taxes and duties on petrol and Rs100 per litre on diesel.

According to Oil and Gas Regulatory Authority (OGRA), the growth is primarily linked to higher petrol and diesel costs in the international market.

Meanwhile, the regulator remarked the costs were revised based on international market rates, premiums and other relevant factors.

For context, the cost of HSD has come down from a peak of Rs520.35 recorded on April 3. Its cost had kicked off rising from Rs281 per litre after the US-Iran war broke out on February 28.

For context, the petrol cost had peaked at Rs458.41 on April 3 after beginning its upward trajectory from Rs266 in the first week of March.

For context, the administration has reintroduced a raft of austerity measures in response to rising fuel costs, including requiring markets to close by 9pm and cutting fuel allocations for official vehicles by 50 per cent for three months.

On September 13, Prime Minister Shehbaz Sharif confirmed a "relief scheme" for users of motorcycles, autos and vehicles of up to 800cc to "alleviate the burden" of rising global oil costs.

While owners of vehicles up to 800cc would receive the same relief on a monthly quota of 30 litres, a statement from the Prime Minister's Office (PMO) remarked owners of two- and three-wheelers would receive relief of Rs100 per litre on a monthly quota of 20 litres.

On July 17, Petroleum Minister Ali Pervaiz Malik confirmed that fuel costs would now be fixed on a daily basis due to fluctuations in international market rates after renewed hostilities between Iran and the US.

Prior to this, the administration had been announcing weekly revisions to fuel costs since early March, alongside measures for the conservation of fuel against the backdrop of feasible oil supply disruptions due to the ongoing conflict in the Middle East. The federal administration in April additionally confirmed targeted relief measures to provide subsidised fuel.

According to The petroleum minister, the cabinet and the prime minister had decided to offer the Oil and Gas Regulatory Authority (Ogra) the responsibility of deciding fuel costs on a daily basis based on international market trends.

Petrol is mainly applied in private transport, small vehicles, rickshaws and two-wheelers, and changes in its rate affect the middle and lower-middle classes.

As it is mainly employed in the heavy transport sector, power plants and sizeable generators, similarly, changes in diesel rates additionally impact the public at sizeable.

Petrol and high-speed diesel (HSD) are the major revenue earners, with monthly sales of regarding 700, 000 to 800, 000 tonnes, compared to just 10, 000 tonnes of monthly demand for kerosene.

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For now, govt lowers petrol price by Rs0.43 per litre, raises HSD by Rs3.47 remains the part of the story worth watching, and further updates are likely as more details are confirmed.