2017 Petrol Price in Pakistan

2017 Petrol Price in Pakistan

In 2017, petrol prices in Pakistan fluctuated significantly, starting at Rs. 66.27 per litre and rising to Rs. 74 by April. Prices dropped to approximately Rs. 69.50 in August but climbed back to around Rs. 73.50 by October. These changes were influenced by global oil market shifts, the rising dollar, and government tax adjustments. The article discusses the ongoing volatility of petrol prices and their broader economic and social impacts in Pakistan.

Compare the prices with: 2018 petrol price in Pakistan 

2017 میں، پاکستان میں پیٹرول کی قیمتوں میں نمایاں اتار چڑھاؤ آیا، جس کی شروعات روپے سے ہوئی۔ 66.27 فی لیٹر اور بڑھ کر روپے تک پہنچ گئی۔ اپریل تک 74۔ قیمتیں تقریباً روپے تک گر گئیں۔ اگست میں 69.50 لیکن تقریباً روپے پر واپس چڑھ گیا۔ اکتوبر تک 73.50۔ یہ تبدیلیاں تیل کی عالمی منڈی کی تبدیلیوں، بڑھتے ہوئے ڈالر اور حکومتی ٹیکس ایڈجسٹمنٹ سے متاثر ہوئیں۔ مضمون میں پٹرول کی قیمتوں میں جاری اتار چڑھاؤ اور پاکستان میں ان کے وسیع تر معاشی اور سماجی اثرات پر بحث کی گئی ہے۔

2017 Month-By-Month Petrol Price in Pakistan 

Factors Affecting Petrol Prices in Pakistan in 2017

Global Oil Prices 

In 2017, crude oil prices experienced a significant increase, rising from $45 to $65 per barrel. This uptick in international prices translated into higher local petrol costs.

Exchange Rate (PKR to USD)

During the same period, the Pakistani Rupee experienced a slight depreciation. As a result, the cost of importing petroleum became more expensive, further contributing to the rising prices of petrol.

Government Taxes 

The imposition of high taxes, such as the Goods and Services Tax (GST) and Petroleum Levy, significantly impacted petrol prices in Pakistan, with taxes accounting for approximately 30–35% of the total petrol price.

OGRA Recommendations

The Oil and Gas Regulatory Authority (OGRA) recommended monthly price revisions based on market conditions. However, the final decision regarding price changes was made by the government.

Import Dependency

Pakistan remains heavily reliant on fuel imports. Consequently, fluctuations in international oil prices have a direct impact on local petrol prices.

Political Uncertainty 

Political instability, exemplified by events such as the resignation of the Prime Minister, has affected economic decision-making. This uncertainty has led to reduced emphasis on subsidies or measures to provide price relief to consumers.

Seasonal Demand

Petrol demand tends to rise during specific periods, such as harvest seasons and holidays, which can result in elevated prices due to increased consumption.

Middle East Tensions

Political conflicts and tensions in oil-producing countries have the potential to disrupt global supply chains. Such geopolitical uncertainties can lead to increases in global oil prices, further affecting local markets.

Diesel, Kerosene & LDO Price Comparison 

In 2017, the rates for diesel, kerosene, and LDO also didn’t remain the same.

• Diesel, which trucks and buses use, went from Rs. 75 to Rs. 84, so travel and transport got costly.
• Kerosene oil, mostly used in low-income homes, stayed between Rs. 45 to Rs. 55. Even a few rupees extra hit families hard.
•  LDO, used by small factories, also got pricier, and running costs went up for many businesses.

Government Pricing Policy and Taxation

The government of Pakistan, under the Pakistan Muslim League-Nawaz (PML-N), allowed fuel prices to be adjusted based on recommendations from the Oil and Gas Regulatory Authority (OGRA). However, price changes were also influenced by taxation. The government collected the Petroleum Levy (PL) and the General Sales Tax (GST) on fuel, which were key sources of revenue.

In 2017:

• GST on petrol was around 17%.

• The Petroleum Levy added further cost per litre.

• Total taxes often made up 30-35% of the final petrol price.

Critics argued that the government could have reduced taxes to provide relief to the public, especially during times of rising international oil prices. However, the government maintained that revenue from fuel taxes was essential to fund public development and reduce the budget deficit.

Key Reasons Behind Petrol Price Fluctuation 2017

• Global Oil Prices 

Petrol is linked to international oil rates. When oil became expensive globally, it directly affected prices here, too.

• Dollar Rates 

Since Pakistan buys petrol in dollars, any increase in the dollar rate made fuel costlier for us locally.

• Government Policies 

The government reviewed fuel prices almost every month. Sometimes they increased prices just to adjust tax or revenue targets.

• Local demand 

In busy seasons like Eid or harvest time, fuel demand goes up. More demand often pushed the prices a bit higher.

• Import & Supply Cost 

If import or transport costs rose, the extra burden was passed on to the public. Fuel prices went up to cover those costs.

Public Reaction & Media Coverage 

• As soon as petrol got expensive, people started complaining on Facebook and Twitter. Everyone was talking about it online.

• Rickshaw drivers quickly raised their fares. Daily workers were stressed because their budgets were already tight.

• News channels talked a lot about the price hike. Almost every anchor was asking tough questions about why prices kept changing.

• Some news reports showed small interviews of regular people; some said transport costs more now, and others said groceries got expensive.

• Many people criticised the government for changing prices every month. It left the public confused and frustrated.

Comparison with Previous and Following Years (2016–2025)

Inflation & Economic Impact 

When petrol prices go up, it’s not just about filling your tank. Everything else also gets expensive. Transport costs rise, which makes vegetables, fruits, and other goods cost more too. For people with limited income, this becomes a real headache.

Small businesses get badly hit because their daily running and delivery costs go up. They have to spend more on transport, so they either raise their prices or earn less profit. Shopkeepers also feel stuck; if they increase prices, customers complain; if they don’t, they lose money. It’s a tough spot for everyone in the chain.

Conclusion

In 2017, petrol prices in Pakistan fluctuated between Rs. 66.27 and Rs. 74 per litre due to global oil price changes, exchange rate depreciation, and high government taxes, which made up 30–35% of the final price. These fluctuations stemmed from both global market conditions and local demand, with adjustments in taxes and political instability impacting consumers. Public frustration was evident due to the frequent price hikes, but these were driven by market forces and policy decisions. The year foreshadowed even higher petrol prices in subsequent years, contributing to inflation and increasing transportation and goods costs.

2017 میں، پاکستان میں پیٹرول کی قیمتوں میں روپے کے درمیان اتار چڑھاؤ آیا۔ 66.27 اور روپے عالمی سطح پر تیل کی قیمتوں میں تبدیلی، شرح مبادلہ میں کمی، اور اعلیٰ سرکاری ٹیکسوں کی وجہ سے 74 فی لیٹر، جو کہ حتمی قیمت کا 30-35% بنتا ہے۔ یہ اتار چڑھاؤ عالمی منڈی کے حالات اور مقامی طلب دونوں سے پیدا ہوئے، ٹیکسوں میں ایڈجسٹمنٹ اور سیاسی عدم استحکام صارفین کو متاثر کر رہے ہیں۔ قیمتوں میں متواتر اضافے کی وجہ سے عوامی مایوسی واضح تھی، لیکن یہ مارکیٹ کی قوتوں اور پالیسی فیصلوں سے کارفرما تھے۔ اس سال نے اگلے سالوں میں پیٹرول کی قیمتوں میں مزید اضافے کی پیش گوئی کی، جس سے افراط زر میں اضافہ ہوا اور نقل و حمل اور سامان کی قیمتوں میں اضافہ ہوا۔

FAQ’s

Why did petrol prices rise in Pakistan in 2017?
In 2017, petrol prices increased due to higher global oil prices, a depreciating Pakistani Rupee, increased government taxes, and rising import costs.

How much tax was added to the petrol price in 2017?
In 2017, taxes such as the Goods and Services Tax (GST) and Petroleum Levy made up 30–35% of the overall petrol price in Pakistan.

How did political instability affect petrol prices in 2017?
In 2017, political instability and the resignation of the Prime Minister resulted in increased petrol prices and economic challenges.