Petrol Price Hike in Pakistan June 2025

Fuel prices impact everyone, from drivers to households. In Pakistan, the government recently announced a Re1 per litre increase in petrol prices for the first half of June 2025. At the same time, LPG (liquefied petroleum gas) prices dropped by Rs4.62 per kilogram, offering some relief to consumers. These changes, effective from June 1, 2025, are based on global oil trends and local policies.

Latest Petrol and Diesel Prices in Pakistan

The Finance Division of Pakistan announced the new fuel prices on Saturday night. The decision followed recommendations from the Oil and Gas Regulatory Authority (OGRA) and other ministries. Here’s what changed:

• Petrol: Increased by Re1 per litre, from 63 to Rs253.63.
• High-Speed Diesel (HSD): No change, stays at 64 per litre.
• Kerosene Oil: Unchanged at 85 per litre.
• Light Diesel Oil: Remains at 65 per litre.

These prices will apply from June 1 to June 15, 2025, as Pakistan revises fuel prices every two weeks.

Why No Change in Diesel Prices?

Diesel prices stayed the same because global oil prices and exchange rates didn’t justify an adjustment. The government balances these factors to keep costs stable for industries that rely on diesel, like transportation and agriculture.

LPG Prices Drop: Good News for Households

While petrol prices went up, LPG prices saw a welcome decrease. OGRA announced a Rs4.62 per kilogram reduction for June 2025, bringing the price to Rs240.53 per kg from Rs245.16 in May. For an 11.8kg LPG cylinder, this means a saving of Rs54.60, with the new price set at Rs2,838.31 (down from Rs2,892.91).

Why Did LPG Prices Fall?

The price drop is linked to global factors:

• Saudi Aramco Contract Price (CP): Decreased by 67% compared to May.
• US Dollar Exchange Rate: Slightly increased by 35%, but not enough to offset the CP drop.

These changes lowered the LPG producer price to Rs199,234.49 per ton from Rs203,861.82, resulting in cheaper LPG for consumers.

Fuel Price Comparison Table

Here’s a quick look at the updated fuel prices in Pakistan for June 2025:

How These Changes Affect You

Petrol Price Hike

The Re1 increase in petrol prices may seem small, but it adds up for daily commuters and businesses. For example:

• A motorbike with a 10-litre tank now costs Rs10 more to fill up.
• Businesses like ride-sharing services may pass this cost to customers, raising fares slightly.

LPG Price Drop

The Rs54.60 reduction per 11.8kg LPG cylinder is great news for households using LPG for cooking or heating. This saving can help families, especially in rural areas where LPG is a primary fuel source.

Government’s Focus on Petroleum Levy

The government is increasing the petroleum levy to fund projects like electricity subsidies and infrastructure in Balochistan. Currently, consumers pay:

• Rs78 per litre on petrol.
• Rs77 per litre on diesel.

The levy may rise to Rs90 per litre, which could push fuel prices higher in the future.

Government’s Efforts to Curb Smuggling

Pakistan loses Rs300-500 billion annually due to fuel smuggling and adulteration. To tackle this, the government introduced the Petroleum (Amendment) Act, 2025. This law aims to:

• Use digital tracking to monitor petroleum products from import to retail.
• Crack down on illegal petrol pumps and smuggling.
• Protect the environment and vehicle engines from low-quality fuel.

Recently, eight illegal LPG units were sealed and fined Rs5,000 each, showing the government’s commitment to stricter enforcement.

How Do Pakistan’s Prices Compare to UAE?

In the UAE, fuel prices for June 2025 were also announced:

• Super 98 Petrol: Unchanged at 58 per litre (approx. Rs193).
• Special 95 Petrol: Unchanged at 47 per litre (approx. Rs185).
• E-Plus 91 Petrol: Unchanged at 39 per litre (approx. Rs179).
• Diesel: Decreased by 07 to Dh2.45 per litre (approx. Rs183).

Compared to Pakistan’s Rs253.63 per litre for petrol, UAE prices are lower, but Pakistan’s diesel price (Rs254.64) is closer to UAE’s.

What’s Next for Fuel Prices in Pakistan?

Fuel prices depend on global oil markets and exchange rates. With the petroleum levy increasing, petrol and diesel prices may rise in the coming months. However, LPG prices could stay stable if global prices continue to drop. The government’s focus on digital tracking may also reduce illegal fuel sales, potentially stabilizing prices in the long run.