The federal government on Tuesday decreased the price of petrol and high-speed diesel (HSD) by Rs1.49 and Rs2.73 per litre, respectively, for September 30.

According to a notification issued by the Petroleum Division, the price of petrol was fixed at Rs387.54 per litre, while HSD would cost Rs402.24 per litre for Wednesday.

The latest revision comes after the government decreased the price of petrol and HSD by Rs2.27 and Rs3.56 per litre, respectively, for September 29.

Read: Govt decreases petrol by Rs2.27, diesel by Rs3.56 for Sept 29

On July 17, the government announced a new pricing mechanism under which petroleum product prices would be reviewed and notified daily, replacing the weekly pricing mechanism, as renewed tensions between the United States and Iran continued to drive volatility in global oil markets and raise concerns over fuel supplies.

Earlier this month, PM Shehbaz announced a special relief scheme offering Rs100 per litre off petrol for motorcycles, three-wheeler rickshaws and cars with engines up to 800cc, in an attempt to shield lower-income consumers from the impact of rising petroleum prices.

Under the proposal, an estimated 11.8 million beneficiaries would be covered. Around 10 million two-wheeler users and 800,000 three-wheeler users would be entitled to relief on 20 litres of fuel per month, translating into a maximum monthly benefit of Rs2,000 per beneficiary.

Another one million users of cars up to 800cc would receive relief on 30 litres per month, providing them with a maximum benefit of Rs3,000 each.

On Sept 17, the government reintroduced austerity and fuel conservation measures amid rising fuel prices, tightening business operating hours and restricting public events.

Under the measures, notified with immediate effect, shops, markets, shopping malls, bazaars, departmental stores, grocery stores, general stores and kiryana shops would close by 9pm throughout the week, according to a notification issued by the Cabinet Division.

Marriage halls, marquees and other commercial venues hosting festive events would close by 10pm, while restaurants, cafes, eateries, food outlets and standalone fruit and vegetable shops would be allowed to operate until 11pm. Takeaway and home delivery services would remain exempt from the timing restrictions.

Global geopolitical developments continue to pose significant risks. International oil prices are influenced by decisions taken by OPEC+, conflicts in the Middle East, sanctions on oil-producing nations, and disruptions in critical shipping routes such as the Strait of Hormuz and the Red Sea. Any interruption in these supply chains can immediately increase crude oil prices and freight costs. Since Pakistan imports the majority of its petroleum requirements, these developments quickly translate into higher domestic fuel prices.

Oil prices declined ​on Tuesday as investors focused on signs of recovering crude exports from the Middle East and ‌lingering concerns over potential supply disruptions in the region stemming from the US-Israeli war on Iran.

Brent crude futures were down $1.38, or 1.3%, to $103.88 a barrel at 1:03 pm ET (1703 GMT). US West Texas Intermediate crude was down $2.04, or 2.16%, to $90.58.

Crude futures were "under pressure this morning ​on news that the Saudi’s East/West pipeline flows have moved up. ... US/Iran negotiations are ⁠also continuing and while seemingly far apart, both are looking for an off-ramp, and as more oil flows ​through the Middle East, the less bargaining power Iran will have," said Dennis Kissler, senior vice president of ​trading at BOK Financial.

Saudi Arabia resumed oil tanker loadings from its Red Sea port of Yanbu after restarting operations on the East-West Pipeline, according to trade sources and shipping data, improving the outlook for oil exports from the Middle East.