The government said on Tuesday that consumers could expect further "good news" on petroleum prices, adding that it was taking steps to address excessive liquid petroleum gas prices by opening up the market to competition.

Addressing a press conference in Islamabad, Petroleum Minister Ali Pervaiz Malik, alongside Information Minister Attaullah Tarar, stated that Prime Minister Shehbaz Sharif had issued clear instructions to provide "maximum relief to low-income groups", further noting that the government had prevented a potential increase in petrol prices on Friday with the support of oil refineries.

Malik stated: "You saw a reduction in petrol and diesel prices yesterday, and today you will also receive good news about petrol prices."

Read: Petrol pricing revised to shield consumers

Malik stressed that the government would pass on the benefit of any reduction in international petroleum prices to consumers, adding that it was taking measures to provide relief to vulnerable segments amid challenges facing the global energy market.

The minister noted that regional challenges had created difficulties in importing liquefied natural gas (LNG), prompting the government to strengthen the country's energy security infrastructure.

He added that the government had taken all possible measures to provide relief to consumers, keeping in view the country's economic constraints, and had extended Rs130 billion in subsidies under its public relief scheme.

Malik said Pakistan had around 10 million gas connections, while households without access to piped gas relied on liquefied petroleum gas (LPG), adding that local LPG production stood at between 2,000 and 2,500 tonnes, while some market players had attempted to "exploit consumers" through excessive pricing.

The minister said the government was working on a strategy to ensure adequate gas supplies during the winter, adding that efforts were underway to provide the commodity to consumers at affordable rates.

Malik stated that complaints had been received from various cities about LPG being sold for as much as Rs800 per kilogram, blaming market players for disrupting the sector.

He said the government's priority was to import fuel at competitive prices, noting that the country met around 70 per cent of its fuel requirements through imports, further stating that companies importing fuel would be required to publish their prices on their websites to ensure transparency.

Malik said the government would also ensure fair distribution of LPG quotas for hard-to-reach areas and was exploring measures to extend relief to vulnerable consumers in the gas sector, including through assistance from the Benazir Income Support Programme (BISP).

Malik further stated the government would also ensure fair distribution of LPG quotas for hard-to-reach areas and was exploring measures to extend relief to vulnerable consumers in the gas sector, including through assistance from the Benazir Income Support Programme.

Also speaking at the press conference, Tarar said PM Shehbaz had prioritised public relief throughout the crisis and provided subsidies on petroleum products to ease the burden on consumers.

He said the premier had taken a major decision to introduce competition in the LPG sector, adding that, for the first time in history, funds had been obtained from oil refineries to provide relief to the public.

He further noted that the government had provided Rs130 billion in subsidies to consumers.

The press conference comes after the government announced on Monday that oil refineries would bear a burden of Rs15 billion per month, which would allow petrol to be sold Rs15 cheaper than it was in the global market amid the US-Israeli war on Iran.

Read More: Oil refineries to bear Rs15b burden to ease fuel price pressure leading to Rs15 cut in petrol price

Malik expressed his gratitude to oil refineries for standing with the government to provide assistance to the public during difficult times.

The petroleum minister also stated that apart from the fuel relief scheme that was offering "targeted relief" to 13 million people, the government had undertaken several other measures to alleviate the burden on the masses.

The federal government on Friday revised the petrol pricing mechanism, directing refineries to surrender the difference between import and ex-refinery prices as a petroleum levy, with the resulting benefit to be passed on to consumers through a corresponding reduction in petrol prices.

Under the revised arrangement, petrol's import price would be determined on the basis of the actual import cost of the relevant Pakistan State Oil (PSO) cargo. If the actual import cost was unavailable for a particular day's pricing, the premium, incidentals and customs duty of the last available cargo might be used.

For the next 30 days, refineries would be entitled to an ex-refinery price calculated by fixing the premium, incidentals and customs duty at the levels applicable on March 7, 2026, before the war.