LAHORE(National Times)- Petroleum Minister Ali Pervaiz Malik issued a stark warning on Sunday that petrol prices could reach Rs1,000 per litre if a fuel shortage emerged in the country, as global oil prices continued to surge amid renewed hostilities in the Middle East.
Speaking to journalists in Lahore, Malik said petroleum prices had already risen by 50% in Pakistan, with prices in Europe and the United States also climbing sharply.
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He said Houthi attacks were unacceptable and that the government was providing relief to vulnerable segments of society to cushion the impact of rising fuel costs.
On the energy front, the minister said work had begun on oil wells and the government expected to discover domestic crude oil by October, which could help reduce reliance on expensive imports.
The warning came as fuel prices recorded a sharp increase amid heightened volatility in global oil markets triggered by renewed hostilities in the Middle East and the closure of the Strait of Hormuz.
The further escalation followed the collapse of a fragile ceasefire reached in June between Tehran and Washington, along with Houthi attacks on Saudi Arabia’s civilian and economic infrastructure, raising concerns over disruptions to energy shipments.
Following the latest price revision, petrol is now being sold at Rs389.14 per litre while high-speed diesel stands at Rs424.04 per litre.
In response to the rising prices, Prime Minister Shehbaz Sharif last Sunday launched a special relief scheme providing Rs100 per litre discount on petrol for motorcyclists, rickshaw and Chingchi owners and drivers of vehicles up to 800cc.
Federal Minister for IT and Telecommunication Shaza Fatima subsequently announced three major revisions to the scheme. She said eligibility had been extended to motorcycles registered from January 1, 2006, instead of the previous 2011 cut-off, in response to feedback from citizens and journalists.
The previous five-litre limit per token has been abolished, with eligible two and three-wheeler users now able to purchase fuel according to their own requirements. Each eligible user can obtain four tokens per month with each token carrying a relief amount of Rs500.
“For example, if two litres of petrol cost Rs780, the beneficiary would pay Rs280 after applying the Rs500 relief token,” Fatima explained.
The third change was the abolition of SMS charges across the board under the scheme, making messaging free for all scheme beneficiaries regardless of vehicle type.
Fatima said more than 1.75 million registrations had been completed under the scheme by 3pm, around 1.5 million tokens had been generated, and over 680,000 tokens had already been redeemed at petrol stations.
