ISLAMABAD, November 2, 2026: Federal Petroleum Minister Ali Pervaiz Malik said on Monday that the government had prevented a Rs15 per litre increase in petrol prices by shifting Rs15 billion in additional costs to oil refineries under a temporary relief arrangement.
Addressing a press conference, Malik said the government had decided not to pass rising petroleum costs on to consumers despite mounting pressure from the ongoing regional conflict, higher import premiums and increased shipping insurance expenses.
He thanked local refineries for cooperating with the government, saying the arrangement would remain in place for 30 days.
The minister said refineries had earned substantial profits following changes in crude oil supplies and were now contributing towards protecting consumers from higher fuel prices.
He explained that the premium for refineries had been capped at $20, compared with approximately $5 before the crisis.
According to Malik, petroleum import premiums had increased by $10 to $20, with the additional costs reflected in Pakistan State Oil’s procurement tenders.
He said domestic refineries produced approximately 30% of the country’s petrol requirements, making their participation important in managing fuel prices.
The minister maintained that the government had not retained the financial benefit to reduce its fiscal deficit but had passed it on to consumers.
He said more than 13 million consumers had benefited from the government’s relief measures, including earlier measures involving diesel prices.
Referring to energy supply disruptions, Malik said an LNG vessel had been attacked amid the regional conflict.
He added that two LPG terminals were available and would be utilised to support energy requirements.
The minister also criticised LPG prices reaching Rs700 per kilogram, describing such rates as unfair to consumers.
Malik said the government would review the temporary pricing arrangement once international market conditions stabilised.
He added that the petroleum sector would be deregulated after the regional conflict ended.