The federal government has decided to provide a subsidy worth Rs23 billion for low-income citizens using savings generated under its austerity policy.
According to reports aired by Samaa TV, the Secretary Petroleum informed a meeting of the Senate Standing Committee on Petroleum that the government plans to distribute the saved Rs23 billion as a subsidy to motorcycle and rickshaw owners. Around 30 million two-wheelers and three-wheelers are expected to benefit from the scheme.
Officials said the subsidy will be distributed to eligible beneficiaries based on data from the Benazir Income Support Programme (BISP). The Oil and Gas Regulatory Authority (OGRA) and the Petroleum Division have already started working on the mechanism for the subsidy. Any additional savings generated under the austerity policy will also be directed toward this subsidy, similar to the relief measures provided during the COVID-19 period.
During the meeting, committee members questioned the source of the Rs23 billion, asking what specific steps had been taken to generate the savings and emphasizing that the benefit should go to the public rather than companies. Officials responded that various cost-saving measures had been implemented in line with the directions of Prime Minister Shehbaz Sharif.
The Petroleum Secretary also briefed the committee about supply concerns following rising tensions in the region. He said the global price of diesel has risen from $88 to $187 per barrel, while petrol has reached $130 per barrel. Authorities are attempting to maximize the use of existing fuel reserves.
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