Petrol, Diesel set for up to Rs39 cut

June 18, 2026 (MLN): Consumers across the country are expected to receive substantial relief at the pumps in the upcoming fortnightly review.

Petrol prices are projected to drop by Rs22 per litre to around Rs351, and High-Speed Diesel (HSD) is poised for a massive cut of Rs39 per litre to approximately Rs339.

This heavy downward adjustment is driven by a sharp downturn in global oil benchmarks.

Adding weight to the projected relief, Federal Minister for Energy (Petroleum Division) Ali Pervaiz Malik stated on X (formerly Twitter) that international oil prices are sliding as Iran and the United States move closer to a ceasefire agreement.

He noted that the Prime Minister has directed that this benefit be immediately and fully passed on to the public.

Petrol (PMG): Deep Price Cut Looming

Motorists currently paying Rs373.78 per litre for petrol are looking at a heavy windfall.

Global Slide: The Free on Board (FOB) price per barrel plunged by $10.92, dropping from $126.22 to $115.30. This drop was fueled by a slump in both basic product costs (CnF) and international premiums.

Local Benefit: At the domestic refinery stage, the product cost per litre decreased by Rs19.20, falling to Rs201.95. Consumers will also benefit from a Rs2.73 drop in custom duties per litre.

Refinery Variance: The net derived ex-refinery price shows a hefty downward variance of Rs22.47 per litre.

Diesel (HSD): Historic Rs39 Drop Expected

The industrial, transport, and agricultural sectors are set for an even bigger relief window, reversing previous inflationary pressures.

International Price Crash: The international FOB price for HSD collapsed by $20.49 per barrel, crashing from $155.96 down to $135.47.

Refinery Gains: This global collapse translates directly into a massive Rs35.97 per litre reduction in the basic local product cost.

Furthermore, customs duties are expected to ease by Rs4.09 per litre.Refinery Variance: The total derived ex-refinery price for HSD reflects a substantial downward variance of Rs39.58 per litre.

Pakistani Rupee maintained a stable trajectory, with the average USD conversion rate firming up slightly from Rs278.54 to Rs278.46.

Structural Reforms on the Horizon

Beyond immediate price cuts, broader structural adjustments are underway. Minister Ali Pervaiz Malik revealed that a high-level committee has been formed to develop a transparent, weekly pricing formula.

This system, being designed in consultation with all stakeholders, aims to help the public clearly understand the mechanics behind future price fluctuations.

The Minister also stated that in light of recent regional challenges, the government is reviewing Pakistan's energy security paradigm, with various strategic plans slated for rollout over the coming months to safeguard national interests.

Copyright Mettis Link News