Rs100 per litre fuel relief goes beyond levy: Petroleum Minister Ali Pervaiz Malik

ISLAMABAD: Petroleum Minister Ali Pervaiz Malik on Monday defended the government’s targeted petrol subsidy, saying the Rs100 per litre relief went beyond the amount collected through the petroleum levy and was designed to protect low-income consumers from rising fuel costs.

Speaking about the relief package along with Information Technology Minister Shaza Fatima and Information Minister Atta Tarar, Malik said Prime Minister Shehbaz Sharif had allocated Rs130 billion for the scheme and consulted all provincial chief ministers before finalising the mechanism.

“We have brought everyone together and designed a system for targeted relief,” Malik said, adding that the government’s priority was to provide as much protection and relief to the public as possible.

He said the government could not run the system based solely on individual demands, noting that Pakistan imported around 90 per cent of its energy requirements and that petroleum prices were affected by regional conflicts and global market conditions.

Who qualifies for the relief?

IT minister Fatima said the subsidy would provide Rs100 per litre relief to motorcycle users and owners of vehicles with engines of up to 800cc.

Motorcycle riders would be eligible for relief on up to 20 litres of petrol per month, while owners of small cars could claim the subsidy on up to 30 litres, she said.

Fatima said the government had opted for an SMS-based registration system to ensure people without smartphones could also benefit. Eligible applicants can register by sending their details to 9771.

“The number from which you send the message must be registered in the citizen’s own name, and the CNIC and SIM should belong to the same person,” she said, adding that applicants would not be required to submit their CNIC separately.

Motorcycle users will be able to claim the subsidy once a week, according to Fatima. She said the mechanism had also been designed to minimise queues at petrol stations.

Relief rollout

Tarar said the subsidy was being rolled out in Islamabad after midnight on Monday, with relevant institutions coordinating with the Finance Ministry for implementation.

He said the package was specifically aimed at deserving consumers and argued that reducing the petroleum levy across the board would also benefit wealthier motorists who did not need targeted assistance.

“The prime minister has launched a special relief scheme for deserving people,” Tarar said, adding that the opposition should offer suggestions on improving the mechanism.

The government has described the package as a targeted intervention for consumers most affected by rising fuel prices, rather than a blanket reduction that would provide the same benefit to motorists regardless of their income.