Government Ends Fuel Subsidy for Motorcyclists, Public Transport and Farmers

The government has officially ended the fuel subsidy program that was being provided to motorcyclists, public transport operators, goods transport services, and small-scale farmers across the country. The decision was taken during a meeting of the National Steering Committee chaired by Deputy Prime Minister Ishaq Dar. The move marks a significant change in the country’s fuel pricing policy, with Pakistan fuel subsidy withdrawal expected to affect several sectors.

During the meeting, it was decided to discontinue fuel subsidies for motorcycle riders, rickshaw drivers, and small farmers. The subsidy provided to public transport and goods transport operators was also withdrawn after a review of current market conditions and fuel prices.

According to the official statement issued after the meeting, the subsidy program had been implemented across all four provinces, as well as Gilgit-Baltistan and Azad Jammu and Kashmir. The government said the initiative was introduced to provide relief to vulnerable groups during periods of high fuel prices.

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The statement added that international fuel prices have declined significantly in recent months and the benefit of lower prices has already been passed on to consumers. Based on this situation, the committee, with the approval of the prime minister, agreed to end the subsidy program.

Under the scheme, owners of motorcycles, rickshaws, and vehicles with engine capacities up to 800cc were receiving fuel subsidies ranging from Rs50 to Rs100 per litre. Public and goods transport operators were receiving monthly support between Rs70,000 and Rs100,000 to help keep fares lower, while small farmers were receiving a diesel subsidy of Rs100 per litre. The Pakistan fuel subsidy withdrawal is expected to have financial implications for these groups in the coming months.