Sun. Apr 12th, 2026

    Pakistan Announces Rs. 23 Billion Petrol Subsidy for Low-Income Citizens

    global market shifts and regional tensions, the price of petrol has become a heavy burden for those who rely on two wheels or three wheels to make a living. sharp increase in petroleum prices, the government has decided to provide a petrol subsidy for the country’s poorest citizens.

    The relief plan will mainly benefit people registered under the Benazir Income Support Programme (BISP), including motorcycle and rickshaw drivers.

    According to officials, the subsidy will specifically target motorcycle and rickshaw owners who rely on fuel for their daily income. Authorities say the initiative aims to protect vulnerable groups from the impact of rising petroleum prices.

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    عالمی مارکیٹ میں تبدیلیوں اور علاقائی کشیدگی کے باعث پٹرول کی قیمتیں بڑھنے سے دو اور تین پہیوں والی گاڑیاں چلا کر روزگار کمانے والے افراد کے لیے اخراجات ایک بڑا بوجھ بن گئے ہیں۔ پٹرولیم مصنوعات کی قیمتوں میں تیز اضافے کے پیش نظر حکومت نے ملک کے غریب ترین شہریوں کے لیے پٹرول سبسڈی فراہم کرنے کا فیصلہ کیا ہے۔

    یہ ریلیف پیکج خاص طور پر بینظیر انکم سپورٹ پروگرام (BISP) میں رجسٹرڈ افراد کے لیے ہے، جس میں موٹر سائیکل اور رکشہ ڈرائیورز شامل ہیں۔ حکام کے مطابق یہ سبسڈی ان افراد کو دی جائے گی جو اپنے روزگار کے لیے ایندھن پر انحصار کرتے ہیں، تاکہ بڑھتی ہوئی پٹرول قیمتوں کے اثرات سے کمزور طبقے کو تحفظ فراہم کیا جا سکے۔

    Officials told the Senate Standing Committee on Petroleum that the subsidy will be financed through Rs23 billion saved under the government’s energy conservation policy.

    ​Why Are Petrol Prices So High? The “Iran War” Factor

    ​To understand why this subsidy is necessary, we have to look at the “why” behind the prices. Earlier this week, the country saw a massive Rs 55 hike in petrol prices. This wasn’t just a random decision; it was a direct result of the escalating conflict often referred to as the Iran war

    Subsidy Big relief

    The petroleum secretary told the committee that the proposed subsidy mechanism would be similar to the financial support provided during the COVID-19 pandemic. 

    According to officials, around 30 million motorcycle and rickshaw users across the country could benefit from the relief initiative. These two-wheelers and three-wheelers are widely used for transportation and livelihood, particularly among low-income groups.

    Petroleum supply affected by Mideast tensions

    During the briefing, Petroleum Ministry officials said petroleum supply had been affected due to rising tensions in the Middle East.

    About 70% of Pakistan’s petroleum products are imported from the Middle East, and shipping disruptions have affected supply chains. To address the situation, the government has temporarily allowed the import of oil below the Euro-5 quality standard.

    Global tensions fueling oil market surge

    Authorities said the global oil market is currently experiencing a significant surge due to geopolitical tensions. Concerns about Iran following US military actions have increased uncertainty in the energy market.

    According to the briefing, Iran has even warned that global oil prices could reach $200 per barrel.

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    How to Prepare for the Subsidy Registration

    While the official portal hasn’t opened yet, historical government schemes suggest that you should have the following ready:

    • Valid CNIC: Make sure your identity card is not expired.
    • Vehicle Registration: The motorcycle or rickshaw should be registered in your name or your immediate family’s name.
    • Active Mobile Number: Most subsidies in 2026 are linked to your phone for OTP verification.
    • Digital Wallet: Having an active account on a mobile banking app will likely speed up the process.

    Pakistan exploring alternative oil sources

    Lawmakers also discussed the possibility of importing oil from Russia, noting that several countries are currently purchasing Russian crude.

    The petroleum secretary confirmed that Pakistan is also trying to procure oil from Russia. He added that global energy market uncertainty continues, and the government may move toward weekly petroleum price adjustments.

    ​Conclusion

    The announcement of a petrol subsidy for bikes and rickshaws is a recognition of the harsh reality facing millions of Pakistanis. While the Iran war and global oil hikes are outside of the country’s control, how the government protects its citizens is very much within its power.This scheme isn’t just about petrol; it’s about keeping the wheels of the economy moving. If the delivery boy can afford to ride his bike and the rickshaw driver can afford to keep his engine running, the country stays mobile. We look forward to the final rollout of this package and hope it brings the relief that every Pakistani household is praying for.

    Read more:Dredging Begins at Karachi Port to Boost Shipping Capacity

    FAQs

    Who is eligible for the new petrol subsidy?

    The scheme is specifically being designed for motorcycle owners and rickshaw drivers. The government aims to target low-to-middle-income individuals who use these vehicles for daily transport or livelihood.

     How much discount will be given on petrol?

    The exact discount amount per liter has not been finalized yet. However, the goal is to “cushion the impact” of recent price hikes, which suggest a significant reduction compared to the standard market rate.

     When will the registration for the fuel scheme start?

    The Petroleum Secretary has confirmed that the government is currently “working on the package.” An official date for registration is expected to be announced following the next cabinet meeting.

     

    By Asma