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The government reduced the price of petrol by Rs2.27 per litre and high-speed diesel (HSD) by Rs3.56 per litre effective September 29, bringing their prices to Rs389.03 and Rs404.97 respectively. This reduction follows previous increases tied to international market fluctuations due to the US-Iran conflict; petrol peaked at Rs458.41 while HSD reached Rs520.35 in April. The government is also implementing austerity measures, including earlier market closures and reduced fuel allocations for official vehicles, in response to rising fuel costs.
Written locally by qwen2.5:14b on 2026-09-28,
using this article's own text rather than the other coverage of the
same event (that is the story summary below).
Story summary
The Government reduced petrol prices by Rs2.27 per litre and high-speed diesel (HSD) by Rs3.56 per litre, effective September 29, after they had peaked at Rs458.41 for petrol on April 3 and Rs520.35 for HSD. Petrol will now retail at Rs389.03 per litre, while HSD will cost Rs404.97 per litre. Despite these cuts, the government continues to impose taxes and duties of Rs114 per litre on petrol and Rs100 per litre on diesel. The price hikes were triggered by rising tensions in the Middle East, leading to austerity measures such as market closures at 9pm and a 50% reduction in fuel allocations for official vehicles for three months.
Written for “Petrol Price Reduction” on 2026-10-04,
grounded in this article and the 0 other(s) covering the same event.
The government on Monday decreased the price of petrol by Rs2.27 per litre and that of high-speed diesel (HSD) by Rs3.56 per litre.
asserted
government → decrease → litre
Following the revision, petrol will retail at Rs389.03 per litre, while HSD will cost Rs404.97 per litre.
asserted
HSD → follow → litre
The government continues to levy Rs114 per litre in taxes and duties on petrol and Rs100 per litre on diesel.
asserted
government → continue → diesel
According to the Petroleum Division’s notification, the new prices are applicable for Sept 29.
uncertain
prices → accord → Sept
The price of HSD has come down from a peak of Rs520.35 recorded on April 3.
asserted
price → come → April
Its price had started rising from Rs281 per litre after the US-Iran war broke out on February 28.
asserted
war → start → February
The petrol price had peaked at Rs458.41 on April 3 after beginning its upward trajectory from Rs266 in the first week of March.
Meanwhile, the government has reintroduced a raft of austerity measures in response to rising fuel prices amid the ongoing Middle East conflict.
asserted
government → peak → conflict
Under these measures, markets are required to close by 9pm and fuel allocations for official vehicles has been cut by 50 per cent for three months.
asserted
allocations → require → months
On September 13, Prime Minister Shehbaz Sharif also announced a “relief scheme” for users of motorcycles, autos and vehicles of up to 800cc to “alleviate the burden” of rising global oil prices.
asserted
Sharif → announce → prices
Previously, on July 17, Petroleum Minister Ali Pervaiz Malik announced that fuel prices would now be fixed on a daily basis due to fluctuations in international market prices following renewed hostilities between Iran and the US.
asserted
prices → announce → Iran
Prior to this, the government had been announcing weekly revisions to fuel prices since early March, alongside measures for the conservation of fuel amid possible oil supply disruptions due to the ongoing conflict in the Middle East.
asserted
government → announce → East
The federal government in April also announced targeted relief measures to provide subsidised fuel.
asserted
government → announce → fuel
The petroleum minister stated that the cabinet and the prime minister had decided to give the Oil and Gas Regulatory Authority (Ogra) the responsibility of deciding fuel prices on a daily basis based on international market trends.
asserted
cabinet → state → trends
Petrol is mainly used in private transport, small vehicles, rickshaws and two-wheelers, and changes in its price affect the middle and lower-middle classes.
asserted
changes → use → classes
Similarly, changes in diesel prices also impact the public at large, as it is mainly used in the heavy transport sector, power plants and large generators.
asserted
it → impact → sector
Petrol and high-speed diesel (HSD) are the major revenue earners, with monthly sales of about 700,000 to 800,000 tonnes, compared to just 10,000 tonnes of monthly demand for kerosene.
asserted
Petrol → compare → kerosene
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