ISLAMABAD: While global oil prices continue to slide, Pakistan’s domestic fuel prices may remain unchanged or see only a marginal reduction on May 1, as the government weighs its options amid fiscal pressures.
Brent crude has dropped to *$66.60 per barrel, while *WTI stands at *$62.85, reflecting a **3% weekly decline. Under normal circumstances, such a trend would trigger a price cut in Pakistan. However, uncertainty looms due to recent policy shifts that allow the government to *adjust the petroleum levy without limit.
In the last fortnightly review on *April 15, petrol and diesel prices were held steady at *Rs254.63 and Rs258.64 per litre, respectively. Instead of passing on the benefit of lower global prices, the government chose to increase the petroleum levy, a move widely criticized by analysts and the public.
Experts caution that if the current policy approach continues, consumers may not benefit from the international price dip. The government’s growing reliance on the petroleum levy as a revenue tool means that any relief will depend on its willingness to absorb fiscal shortfalls rather than shift the burden onto the public.
Unless there is a policy reversal, the expected decline in global crude may not translate into lower prices at the pump in Pakistan.
