Proposed system would give Ogra sole authority to determine petroleum prices through daily revisions based on market trends.
Image: Pakistan Observer
The government is considering introducing a daily fuel price adjustment mechanism aimed at making petroleum prices more responsive to changes in international oil markets.
Under the proposed system, the Oil and Gas Regulatory Authority (Ogra) would be solely responsible for determining fuel prices, replacing the current periodic review process.
The move is intended to align domestic fuel prices more closely with fluctuations in global crude oil prices and exchange rate movements.
Officials said daily revisions could improve transparency, reduce delays in passing on market changes and minimise sudden price shocks for consumers.
The proposed mechanism would also reduce the government’s direct role in setting petroleum prices, giving Ogra greater regulatory authority over the process.
The plan is currently under consideration, and consultations with relevant stakeholders are expected before any final decision is made.
If approved, the new pricing system would mark a significant shift in Pakistan’s fuel pricing policy by introducing more frequent adjustments based on prevailing market conditions.
