Islamabad: Federal Minister for Finance and Revenue Muhammad Aurangzeb on Thursday signaled that petroleum prices could rise again in the coming days.
His statement comes at a time when people are already dealing with a major increase in fuel prices. The government recently raised petrol and diesel prices by Rs55 per litre, attributing the hike to rising global oil costs linked to growing tensions in the Middle East.
After the increase, petrol is now priced at Rs321.17 per litre. Diesel has jumped from Rs275.70 to Rs335.86 per litre.
Aurangzeb shared these remarks while briefing a meeting of the Senate Standing Committee on Finance and Revenue, chaired by Saleem Mandviwalla.
The finance minister said the government was introducing austerity measures on the instructions of Prime Minister Shehbaz Sharif. He warned that fuel prices may climb further in the coming days because of developments in the region and pressure from global markets.
Read Also: SUPARCO predicts Eid-ul-Fitr date for Pakistan
He also revealed that the prime minister has formed a ministerial committee to review petroleum product prices and supply on a daily basis.
“The situation in the region is changing moment by moment, so quick decisions are required regarding the purchase of petroleum products,” the minister said.
Aurangzeb told the committee that Qatar has declared force majeure due to the ongoing war situation. This has affected LNG imports. According to him, an LNG cargo that earlier cost about $25 million is now being bought for nearly $100 million.
The minister further said the government is considering shutting down six urea fertilizer plants because of excess supply. He noted that the country currently has larger fertilizer stocks compared to last year.
He added that some countries including Sri Lanka and Bangladesh have already introduced fuel rationing, where the situation is even more difficult.
Read Also: Broiler chicken prices increase across Pakistan
Meanwhile, opposition leaders strongly criticised the government over the steep rise in petroleum prices and warned that it would push inflation and poverty even higher.
In a statement posted on X, Hafiz Naeem ur Rehman, chief of Jamaat-e-Islami, rejected the increase in fuel prices and called the decision unacceptable.
He said that when global oil prices had dropped to a five year low in recent months, the government increased the petroleum levy instead of giving relief to the public. Now that prices are rising again, the burden is once again being placed on the people, he added.