The Petroleum Division has sent a summary to the federal government regarding changes in petroleum prices. An official announcement about new fuel prices is expected soon, creating concern among the public.

According to sources, the summary proposes an increase of Rs29 per litre in petrol and Rs49 per litre in diesel. The final decision on these prices will be taken by Prime Minister Shehbaz Sharif.

Sources said that earlier, the government had absorbed a burden of Rs23 billion for one week to keep fuel prices unchanged. This relief was given from March 14 to March 20 to avoid sudden pressure on consumers.

Read more: Honda CB 125F plan offers 0% markup with easy installments for limited time

The government managed this by paying price differential claims, which helped avoid a major increase at that time. It was decided not to raise petrol by Rs49.63 per litre and diesel by Rs75.05 per litre during that period.

Now, there is a possibility that the government may again keep prices unchanged for the next week. In that case, it may continue to bear the financial burden through the same mechanism.

Sources also revealed that a large portion of current fuel prices consists of taxes. Petrol currently includes taxes of Rs121.77 per litre, which is around 38 percent of its total price.

Similarly, diesel includes Rs73.42 per litre in taxes, making up about 22 percent of its total cost. These prices also include charges like customs duty, petroleum levy, and climate support levy.

Read more: 5G not working on iPhones, Pixels, Samsung phones in Pakistan? Here’s solution

The expected increase has raised concerns among citizens, as fuel prices directly impact transport, food, and daily expenses.

Fuel prices may rise, which can increase daily expenses. Government may delay hike to give short relief. But financial pressure on govt is also increasing. People may face higher inflation if prices go up.