A Lufthansa Airbus 380 refueling at Frankfurt airport on July 12, 2013. PHOTO: REUTERS
On Saturday, the government reduced the price of jet fuel by Rs 23 per liter after easing tensions in the Middle East.
A day earlier, the government had reduced the price of high speed diesel (HSD) to Rs 32.12 per litre. Prime Minister Shehbaz Sharif approved the reduction in HSD price on Friday from Rs 385.54 to Rs 353.43 per liter.
According to a notification issued by Pakistan State Oil (PSO), the new rate for jet fuel stood at Rs 471.01 per liter while the price of kerosene was priced at Rs 428.81 per liter.
The revision reflects changes in global oil prices and exchange rate fluctuations. The adjustment is expected to provide some relief to the aviation sector, which has been facing high operating costs due to high fuel prices.
Read: Jet fuel price rose for the fifth time in 28 days
The latest reduction came after a sharp rise in jet fuel prices last month, when rates rose to a record Rs 476.97 per liter after multiple increases within weeks. Authorities had cited the global oil crisis caused by the conflict between the United States and Iran, with prices rising by 288 rupees per liter since early March.
Rising aviation fuel costs significantly raised airline operating expenses, causing airfares to rise sharply. One-way domestic tickets on key routes such as Karachi, Lahore and Islamabad have risen to Rs 40,000, while “casual seat” fares have crossed Rs 50,000.
International travel was also affected, with economy class fares to destinations such as the Middle East, Europe and North America rising to between Rs 300,000 and Rs 700,000, reflecting the broader impact of fuel price volatility on the aviation sector.
