Pakistan Minister Proposes Petroleum Pricing and Refinery Reforms

Federal Minister for Petroleum Ali Pervaiz Malik chaired a high-level committee meeting in Islamabad on July 13, 2026, to review reforms for Pakistan's petroleum pricing mechanism. The review follows global energy market instability caused by U.S. President Donald Trump's announcement of a naval blockade on Iran and a 20% fee on cargo transiting the Strait of Hormuz, which drove global oil prices up by more than 4%.

To increase transparency, the committee recommended that the Oil and Gas Regulatory Authority publish daily Platts pricing data online. The group also proposed a rule-based framework for the petroleum price stabilisation fund and the digitization of the oil supply chain. To bolster energy security and reduce import reliance, the government proposed amendments to the refinery policy specifically to increase domestic diesel production.

During the meeting, Malik cited a KPMG study showing that petrol prices in Pakistan are comparable to India and lower than those in Bangladesh, Sri Lanka, and Türkiye. The committee will submit its final recommendations to Prime Minister Shehbaz Sharif following a subsequent meeting.