Petrol Drops to Rs381.14, Diesel Falls to Rs389.27

ISLAMABAD: The government has lowered the price of high-speed diesel (HSD) by Rs7.69 per litre and petrol by Rs5.16 per litre for October 20, 2026, offering consumers some relief amid persistently high fuel expenses.

According to the Petroleum Division, the Oil and Gas Regulatory Authority (OGRA) has revised ex-depot rates under the federal government's petroleum pricing mechanism. Diesel prices have dropped from Rs396.96 to Rs389.27 per litre, while petrol has declined from Rs386.30 to Rs381.14 per litre.

The revised rates will take effect on October 20, 2026.

The diesel price reduction is particularly significant for the transport and agriculture industries, where fuel represents a considerable portion of operating expenses. Trucks, buses, tractors and agricultural machinery rely heavily on diesel, making its price a key factor affecting freight costs, passenger fares and the transportation of agricultural produce.

The lower rates could reduce financial pressure on transport operators and farmers. However, the extent of any benefit for consumers will depend on whether businesses pass on the savings through reduced fares and service charges.

The petrol price cut will also ease expenses for motorists, particularly motorcycle users and private vehicle owners who depend on their vehicles for everyday commuting.

The Petroleum Division attributed the latest revision to developments in international markets, including fluctuations in Platts rates, premiums and incidental expenses.

Although the cuts are expected to reduce immediate fuel costs, their broader effect on transport fares and commodity prices will depend on how businesses revise their charges and how international oil prices move in subsequent periods.