Another Petrol Bomb incoming? Rs55 Price hike likely amid surge in Global Oil Prices

2026-03-24 - 14:01

KARACHI – Pakistanis are once again on the edge of another fuel shock, as rising global crude oil prices and escalating tensions in the Middle East, particularly linked to situation involving Iran, continue to put pressure on markets. In Pakistan, where households and businesses are already grappling with inflation, the expectation of another sharp increase in petrol prices is adding to growing concerns. As world watches developments in Middle East unfold, Pakistanis are now bracing for what could be yet another painful adjustment at the fuel pumps. The ongoing conflict involving Iran and heightened instability in the Middle East have sent shockwaves through international oil markets, triggering a continuous upward trend in crude oil prices. This global surge is now expected to directly impact Pakistan, with consumers likely to face another sharp increase at the pump in the coming days. According to reliable sources, petroleum prices in the country may witness a significant and record-breaking jump. Petrol could become more expensive by as much as Rs55 per litre, while high-speed diesel may see an increase of up to Rs75 per litre. If implemented, these increases would push fuel prices to the highest levels in Pakistan’s history. Officials further reveal that the Oil and Gas Regulatory Authority (OGRA) is set to submit its working recommendations to the Petroleum Division within the next two days. The final decision, however, will rest with Prime Minister Shehbaz Sharif, who is expected to give the ultimate approval on any price adjustment. Sources indicate that instead of a single sharp increase, the government may opt for a phased approach, implementing the hike in two stages over a two-week period. Alternatively, authorities could attempt to stabilize prices through targeted subsidies—though such a move would place additional pressure on the national exchequer. This looming increase comes shortly after a major price revision earlier this month. On March 7, following the Iran-related tensions, the government had already raised petrol and diesel prices by Rs55 per litre. After that adjustment, petrol reached Rs321.17 per litre, while diesel climbed to Rs335.86 per litre. Adding to the concerns, OGRA had also forwarded another summary last week recommending further increases in fuel prices. While the government chose to maintain petrol and diesel rates at that time, it did raise kerosene oil prices by Rs70.73 per litre and imposed an additional levy of Rs200 per litre on high-octane fuel. Punjab mulls fuel rationing, school holidays due to ongoing energy crisis