Prime Minister Shehbaz Sharif has directed the government to expand its fuel relief scheme to include motorcycles, rickshaws and Qingqis registered after January 1, 2006.
The Prime Minister’s Office said on Friday that owners of these vehicles, including those that are around 20 years old, would now be eligible to register for the Prime Minister Fuel Relief Scheme. The decision is aimed at extending the benefit to a wider section of people who rely on two- and three-wheelers for their daily travel and work.
The government had announced the fuel relief programme on September 13 in response to rising international oil prices. Under the scheme, eligible users of motorcycles, rickshaws, Qingqis, other three-wheelers and vehicles with engines of up to 800cc are entitled to a relief of Rs100 per litre on petrol.
Owners of motorcycles, rickshaws, Qingqis and other two- and three-wheelers can receive the relief on up to 20 litres of petrol each month. Owners of cars with engines of up to 800cc are eligible for the same Rs100-per-litre relief on up to 30 litres of petrol per month.
The government introduced the scheme as global oil markets remained under pressure amid renewed tensions in the Middle East. Disruptions and security concerns along major energy and shipping routes have contributed to higher fuel prices in recent months.
The Strait of Hormuz has remained a major concern for global energy markets amid the US-Iran conflict. Meanwhile, shipping activity through the Bab al-Mandab route has also faced increased security threats, particularly from Houthi attacks, adding to concerns over oil supplies and transportation.
The fuel relief scheme encountered difficulties during its initial nationwide rollout on Thursday. Several petrol stations reportedly declined to process the digital relief mechanism, saying they did not have the required system to provide fuel at the reduced rate.
The Pakistan Petroleum Dealers Association had also raised concerns about the implementation mechanism before the scheme was launched. The association said petrol dealers were unclear about how the subsidy would be reimbursed and feared difficulties in recovering the relief amount from the government.
Meanwhile, the federal government has revived austerity measures in response to the continuing fuel crisis. The measures include ordering markets and shopping centres to close by 9pm and cutting fuel allocations for government vehicles by 50 per cent for three months.
