Earlier this month, govt increased petrol, diesel prices by Rs55 per litre citing ongoing US-Israel and Iran conflict
Prime Minister Shehbaz Sharif speaks in a video address. — SCREENGRAB
Prime Minister Shehbaz Sharif is addressing the nation on the ongoing Middle East conflict that has triggered a global fuel crisis.
Earlier this month, the government sharply increased diesel and petrol prices by Rs55 per litre, or 20 per cent, citing the ongoing US-Israel and Iran conflict, which has disrupted global supply chains and pushed crude oil prices to a two-year high.
In response to the crisis, both federal and provincial governments have introduced a series of austerity measures. These include an additional weekly holiday, a reduction in free petrol allocations for ministers, curbs on protocol vehicles, and proposals to provide subsidised fuel for students.
Read: Govt to absorb Rs49/litre oil price surge
Last week, the government also approved a significant increase of Rs200 per litre in the fuel levy on high-octane fuel used in luxury vehicles, raising the total levy to Rs300 per litre and the price to Rs600 per litre.
Addressing the nation last Friday, the prime minister warned of a further increase in petroleum prices due to the war in the region, which has shaken the global economy.
“If the situation continues to deteriorate, the possibility of a further increase cannot be ruled out,” he said.
The prime minister said prices had risen considerably again at the beginning of the current week and that he had been advised to raise fuel prices once more. However, he added that he had decided against doing so out of a sense of responsibility and in view of the imminent Eidul Fitr.
He said the government had so far spent Rs69 billion to prevent an increase of Rs127 per litre in petrol prices and Rs252 per litre in high-speed diesel.
However, he added that this was not a sustainable solution, saying the government would absorb the burden as much as possible to protect the public and provide relief to the poor.
