ISLAMABAD: The government of Pakistan has ended fuel subsidies for motorcyclists, small farmers and public transport operators, officials said following a meeting of a national steering committee on energy pricing.
The meeting was chaired by Deputy Prime Minister Ishaq Dar and approved the decision to withdraw subsidies previously provided across all provinces, as well as in Gilgit-Baltistan and Azad Jammu and Kashmir.
According to an official statement, subsidies had been provided on petrol and diesel to support motorcycle and rickshaw users, small farmers, and transport operators to help keep fares and agricultural costs lower.
Under the previous scheme, motorcycle, rickshaw and small vehicle owners received subsidies ranging from 50 to 100 rupees per litre, while public and freight transport operators were receiving monthly support of 70,000 to 100,000 rupees.
Small farmers were also being given diesel subsidies of around 100 rupees per litre, the statement said.
Officials said the decision was taken after noting a decline in global fuel prices and the earlier transfer of benefits to consumers. The committee approved the move with the consent of the prime minister.
The withdrawal of subsidies is expected to affect transport costs and agricultural expenses across the country.