Pakistan considering 'smart lockdown' to reduce fuel consumption
What's the story
Pakistan is considering a "smart lockdown" and other austerity measures to reduce fuel consumption after petrol and high-speed diesel prices were hiked. The move comes as tensions in West Asia escalate, affecting oil supply routes. Per PTI, Prime Minister Shehbaz Sharif chaired a meeting to discuss proposals aimed at reducing fuel consumption in the transport sector.
Price hike
Petrol prices soar to Rs. 384.34 per liter
On Tuesday night, the government raised petrol prices by Rs. 4.10 per liter and high-speed diesel (HSD) by Rs. 6.41 per liter.
Petrol now costs Rs. 384.34 per liter, while HSD is priced at Rs. 415.83 per liter, according to a Petroleum Division notification.
The price hike comes amid warnings of possible disruptions to oil supplies due to worsening security situations around the Hormuz and Bab El-Mandeb straits.
Austerity measures
Smart lockdown among options being considered
Information Minister Atta Tarar earlier said that a "smart lockdown" is among the options being considered to reduce fuel consumption.
The proposed measures are similar to those introduced during the US-Iran war, which included a four-day workweek and early market closures.
However, Climate Change Minister Musadik Malik has denied any discussions about such measures taking place.
Relief scheme
PM's fuel relief scheme
At a press conference on Tuesday, Malik linked the latest fuel price hike to international crude oil price increases and said efforts were made through the PM's Fuel Relief Scheme to offset some of this burden.
Under this scheme, motorcyclists would get five liters of subsidized petrol weekly, while car owners would be entitled to 10 liters every 10 days.
Malik admitted that this relief was insufficient but was the maximum burden the national economy could absorb at present.
Subsidy expansion
Government plans to extend fuel subsidy scheme to provinces
The government has also announced plans to extend its fuel subsidy scheme to provinces after testing it in Islamabad.
Attacks on Saudi energy infrastructure have heightened supply concerns, with Saudi Arabia shutting down its East-West oil pipeline after an aerial attack on the vital conduit.
Pakistan is facing the possibility of public unrest over the fuel prices. The right-wing Jamaat-i-Islami (JI) has warned nationwide demonstrations next week if the government does not lower prices.