Pakistan is considering a new system that would allow fuel prices to change every day instead of every two weeks. The proposal is aimed at making local petroleum prices respond more quickly to changes in global oil markets.
Under the proposed plan, the Oil and Gas Regulatory Authority (OGRA) would calculate and announce the latest prices for petrol, high-speed diesel, kerosene, and light diesel oil every evening. The revised prices would then come into effect at midnight on the same day.
At present, fuel prices in Pakistan are usually reviewed and announced every 15 days. If the new system is approved, prices could increase or decrease on a daily basis depending on international oil prices and other market factors. This would help ensure that local fuel prices remain more closely linked to global trends.
Officials believe the new pricing mechanism could improve transparency and reduce the delay in passing international price changes on to consumers. It is also expected to support a more market-based pricing system, allowing prices to adjust more quickly as global oil markets fluctuate.
The proposal is currently being reviewed by the Petroleum Price Reform Committee. The committee is studying how the new system would work and whether it would be practical for Pakistan’s fuel market.
Once the review is complete, the proposal will be presented to Prime Minister Shehbaz Sharif for final approval. No final decision has been made yet, and the current fuel pricing system will remain in place until the government officially approves any changes.
If implemented, the daily review system would mark a major change in the way petroleum prices are set in Pakistan, making fuel prices more responsive to international market movements.
