Govt confirms stable fuel supply, moves towards targeted subsidy plan

March 27, 2026 (MLN):  The government has confirmed that petroleum product supplies across the country remain stable and sufficient, while moving forward with plans to introduce a targeted subsidy mechanism using technological solutions under tight fiscal constraints.

Officials stressed that any relief would be carefully balanced to maintain macroeconomic stability while delivering maximum benefit to the public, according to a press release issued.

The high-level consultative meeting, chaired by Federal Minister for Finance and Revenue, Muhammad Aurangzeb, at the Finance Division, was attended by Sindh Chief Minister Syed Murad Ali Shah, Punjab Senior Minister Marriyum Aurangzeb, KP Finance Minister Muzzammil Aslam, and Balochistan Finance Minister Mir Shoaib Nosherwani. Federal ministers Ali Pervaiz Malik and Shaza Fatima Khawaja, along with provincial chief secretaries, senior officials, and the Chairman NADRA, also participated.

The meeting began with a detailed briefing by the Petroleum Division on the availability of petroleum products, with officials expressing satisfaction over the uninterrupted supply across the country.

The Ministry of Information Technology and Telecommunication presented proposed technological solutions aimed at enabling a transparent and efficient targeted subsidy system to ensure relief reaches intended beneficiaries.

Provincial representatives appreciated the federal government’s efforts to maintain fuel availability while stressing the need for policy flexibility in response to evolving global oil prices.

They highlighted that any decline in international petroleum prices should be passed on to consumers and underscored the importance of promoting responsible consumption through behavioral measures to ensure long-term sustainability.

During the discussion, the Finance Division briefed participants on the fiscal outlook, pointing out that the government’s capacity to provide broad-based relief remains constrained.

In his remarks, the finance minister emphasized the importance of using the current situation as an opportunity to implement structural reforms, particularly through data-driven decision-making in taxation and subsidy design to enhance transparency and efficiency.

Participants agreed to expedite work on a technology-driven targeted subsidy framework and reaffirmed the need for close coordination between the federal and provincial governments to ensure effective implementation and sustained stability in the petroleum sector.

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