PM orders immediate fuel price relief amid fall in global oil prices

ISLAMABAD: Prime Minister Shehbaz Sharif has directed authorities to promptly pass on the benefit of lower international oil prices to consumers, Petroleum Minister Ali Pervaiz Malik said on Thursday, linking the move to easing tensions in the Middle East and a softer global energy market.

In a post on social media, Malik said international oil prices were declining and that the prime minister had instructed officials to ensure the relief reached the public without delay.

The minister also said the government had set up a high-level committee to prepare a transparent weekly fuel pricing mechanism. According to Malik, the purpose is to ensure that whenever prices are adjusted in future, the public can understand the reasons behind the changes. He added that the exercise would be completed in consultation with all stakeholders.

Referring to regional developments, Malik said the efforts of the prime minister, the field marshal, the foreign minister and the interior minister were producing results as Iran and the United States were moving toward signing a ceasefire agreement.

He also thanked industry stakeholders and the public for helping the government maintain the country’s oil supply chain without major disruption during the recent period of uncertainty.

According to the minister, the government is reviewing its broader energy security framework and plans to introduce a range of measures in the coming months aimed at protecting national interests.

Oil market eases after interim US-Iran agreement

Global oil prices dropped by more than $1 per barrel on Thursday after the United States and Iran signed an interim agreement that would bring the Iran war to an end, reopen the Strait of Hormuz and waive US sanctions on Tehran’s oil, improving the outlook for global supplies.

US President Donald Trump had also indicated that oil prices were soon likely to return to levels seen four months ago, suggesting that the easing of geopolitical tensions could help bring down energy costs.

Malik said "International oil prices are falling, and the prime minister has directed that this benefit be passed on to the public immediately".

On the proposed pricing system, the minister said "a high-level committee had been constituted to devise a transparent weekly fuel pricing mechanism … so that in the future, whenever needed, the public can understand the reasons for changes in prices".

He added that the work would be completed "in full consultation with all stakeholders"

Referring to the regional situation, Malik said "The efforts of the prime minister, field marshal, foreign minister, and interior minister are bearing fruit, as Iran and the United States are moving toward signing a ceasefire agreement".

He further said "the government is reviewing its energy security paradigm and plans to introduce various measures in the coming months to safeguard national interests."