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Pakistan’s Fuel Relief Scheme to Cost Rs30bn Monthly

Pakistan’s newly launched fuel relief scheme is expected to cost the federal government between Rs25 billion and Rs30 billion every month, Petroleum Minister Ali Pervaiz Malik said on Monday.

Speaking at a press briefing alongside Information Minister Attaullah Tarar and IT Minister Shaza Fatima Khawaja, Malik walked reporters through the eligibility rules, sign-up process and rollout plan for the initiative. He noted that if the fuel relief scheme runs for a full 10 months, its total cost could climb to roughly Rs300 billion. Prime Minister Shehbaz Sharif has already instructed relevant departments to secure extra funds to keep the programme running.

The scheme itself was unveiled by PM Shehbaz Sharif a day earlier. It offers a Rs100-per-litre discount on petrol for motorcyclists, rickshaw drivers, Qingqi operators and owners of vehicles with engines up to 800cc.

How the Fuel Relief Scheme Works

Two- and three-wheelers, including motorcycles and rickshaws, can claim the discount on up to 20 litres of fuel each month. Car owners with 800cc or smaller engines are eligible for relief on up to 30 litres monthly.

The subsidy will take effect in Islamabad starting the night between Monday and Tuesday. The rest of the country, including Azad Jammu and Kashmir and Gilgit-Baltistan, will see the scheme begin two nights later, between Wednesday and Thursday.

Registering for the Petrol Subsidy

IT Minister Shaza Fatima Khawaja explained that the process unfolds in two stages, starting with a one-time registration before anyone can access the fuel discount.

To register, applicants must text their CNIC number, using a SIM card registered under their own name, to the shortcode 9771. This should be followed by their vehicle’s registration number, along with their city or province and the vehicle’s registration date. Shaza clarified that the province listed must match where the vehicle is officially registered, and that the system will flag any missing details automatically.

Once registered, users won’t need to repeat the process. To collect a fuel token at the pump, beneficiaries simply text “TOK” to the same number, 9771, at the time of purchase.

Shaza cautioned the public against sharing their CNIC or personal details with third parties, stressing that the government will never request additional information or charge a fee for the scheme. She added that any glitches in the system would be addressed as the rollout continues.

No Fare Hikes, Says Information Minister

Tarar said the relief package was designed specifically to support lower-income citizens amid recent spikes in fuel prices. He described the registration and disbursement process as fully transparent, noting that the prime minister has directed all relevant ministries to ensure smooth implementation, with staff on call around the clock to resolve issues.

Tarar also confirmed that the prime minister has instructed authorities to prevent any increase in public transport fares once the fuel relief takes effect. He added that the government continues to pursue austerity measures, with some existing steps retained and others still under review.

Diesel Prices and Import Dependence

Minister Malik reiterated that the prime minister has no intention of adding financial pressure on ordinary citizens. He pointed out that Pakistan imports close to 90% of its energy needs, which leaves the country vulnerable to swings in global oil prices.

According to Malik, the government has a track record of arranging funds ahead of time to support similar subsidies, and Shehbaz Sharif has once again ordered officials to line up additional resources. A separate, targeted relief package introduced earlier remains active and will run until June 30.

Malik also noted that diesel prices stood between Rs270 and Rs280 per litre before the war, and that despite global disruptions, prices in Pakistan have not doubled since then. Since most public transport vehicles run on diesel, he said, keeping fares stable is a key priority. He added that Deputy Prime Minister and Foreign Minister Ishaq Dar has been assigned to consult with the provinces on the matter.

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