Petrol Pumps in Islamabad and Rawalpindi Halt PM’s Subsidy After Fuel Price Cut

Petrol pumps in Rawalpindi and Islamabad have ceased providing the Prime Minister’s petrol subsidy to motorists after the government announced a cut in fuel prices. Instead of selling petrol at the subsidised rate, pump owners and managers have begun charging full price, causing frustration among consumers.

The subsidy has not been applied for the past four days, according to reports. Due to daily fluctuations in fuel prices, many stations have stopped supplying petrol altogether. This has resulted in growing arguments, disputes, and altercations between citizens and pump owners.

Pump owners claim their association instructed them to stop selling petrol at the subsidised rate. However, Nauman Butt, Vice Chairman of the All Pakistan Petrol Pump Owners Association, rejected this claim. He stated that the government has not withdrawn the subsidy scheme, and the association has not told any pump owner to stop implementing it.

The government launched the targeted subsidy scheme in September, when Prime Minister Shehbaz Sharif announced a relief of Rs. 100 per litre on a limited monthly quantity of petrol for motorcycles, rickshaws, and cars up to 800cc. Earlier this month, the prime minister ordered action against petrol pumps that fail to pass on the relief to consumers, and affirmed that the subsidy programme will continue until at least the end of December.

The suspension of the subsidy at the pump level has created confusion among motorists who are entitled to the benefit. The government’s directive to ensure the relief reaches consumers appears to be facing resistance from some pump operators, despite the association’s denial of any instruction to halt the subsidy.