Petrol subsidy may run 10 more months: 6 million registered for Rs 100 off a litre

Updated 29 September, 4:15pm: the Rs 100 a litre petrol subsidy may run for up to 10 more months. Petroleum Minister Ali Pervaiz Malik said in Lahore on 27 September that the scheme will continue "if it has to run for 10 months", that it costs the government Rs 35 billion to Rs 40 billion a month, and that more than 6 million people have now registered, up from 5 million on 25 September. ProPakistani reported the government would fund the Rs 400 billion to Rs 500 billion cost by cutting its own spending, and that nearly 6 million of those registered own motorcycles up to 20 years old. Nothing changes in how you claim: register by SMS to 9771 and send TOK before each fill.

Earlier, 25 September, 3:45pm: more than 5 million people have now registered for the fuel relief scheme, up from about 1 million a week ago, according to a review meeting chaired by Economic Affairs Minister Ahad Cheema. Officials said most registration problems at petrol stations have been fixed and most pumps have been paid, with the State Bank saying the remaining payment issues will be cleared within one to two days. Qingqi rickshaws and loaders without Excise registration still cannot join; provinces have started registering rickshaws, and they will be added once registered. A complaints portal for registration and token problems is being set up by the Pakistan Digital Authority. For bikes and rickshaws, the weekly token is now a flat Rs 500 that can be used on any quantity of petrol (the 5-litre minimum was dropped on 19 September).

Earlier, 22 September: petrol was Rs 393.75 a litre after a Rs 4.61 rise, so a registered rider with a valid token paid Rs 293.75. The Ministry of IT and Telecommunication opened a fuel complaint option in the PAK app, and Jamaat-e-Islami put off its Islamabad long march after a call from the Prime Minister, while keeping its demand on the petroleum levy.

Petrol is Rs 393.75 a litre from 22 September and high-speed diesel Rs 422.08. Since daily pricing began on 17 July, petrol is up more than Rs 80 a litre.

To soften that for people on two wheels and in the smallest cars, the government is running a targeted relief scheme: Rs 100 off every litre, up to a monthly limit, claimed through SMS to 9771.

Where the scheme stands today

As of 25 September, more than 5 million people have registered nationwide, including Azad Jammu and Kashmir and Gilgit-Baltistan, and tokens are being issued and redeemed. The government says most petrol stations have been paid; the State Bank reports payment status twice a day and says the rest will be settled within one to two days. Earlier, Punjab and Islamabad recorded the highest redemptions. The helpline for scheme problems is 9772, and a dedicated online complaints portal is on the way.

If you have not registered yet, do it now. Registration is by SMS and does not depend on whether your nearest pump is cooperating.

The dealer dispute is settled

The stand-off that had dealers threatening to close pumps is over. At a meeting chaired by Federal Minister for Petroleum Ali Pervaiz Malik, the government and the petroleum dealers' associations agreed a payment mechanism:

• Rs 25 billion has been allocated for the first month, with funds earmarked for three months.
• Dealer claims are to be processed within 48 hours.
• The State Bank of Pakistan handles the reimbursement.
• A digital claims system built by the Ministry of IT and Telecommunication runs the payments, with a dedicated control room for support.

Office bearers of the Pakistan Petroleum Dealers Association have confirmed that dealers have started implementing the scheme. If a station still refuses a valid token, note its name, location and the time, and report it to your district administration or the 9772 control room.

Who qualifies

• Motorcycles, rickshaws, chingchis and other two- and three-wheelers: Rs 100 off up to 20 litres a month, so a maximum of Rs 2,000.
• Cars up to 800cc (Mehran, Alto, Bolan class): Rs 100 off up to 30 litres a month, a maximum of Rs 3,000.
• Age limit: on 18 September the Prime Minister directed that all motorcycles, rickshaws and Qingqi rickshaws registered on or after 1 January 2006 be eligible. If your bike is 20 years old or newer, it is in. Older vehicles are out.
• The scheme covers only these two groups. Owners of larger cars pay the full price. Registration needs four things: CNIC number, number plate, province of registration and registration date.

How to register, step by step

1. Use a SIM registered in your own name. The CNIC on the SIM has to match the CNIC you register with. Not sure which SIMs are on your CNIC? See how to check the SIMs registered on your CNIC.
2. Send an SMS to 9771 in this format: REG <CNIC> <plate number> <province code> <registration date>. The SMS is free: the Prime Minister ordered the Rs 1.40 charge waived and the telecom operators have done so.
3. Province codes: I Islamabad, P Punjab, S Sindh, K Khyber Pakhtunkhwa, B Balochistan, A Azad Kashmir, G Gilgit-Baltistan.
4. Your vehicle is checked against the provincial Excise record, so the plate and registration date must match your registration book or card exactly.
5. Before each fill, send TOK to 9771 to get a fuel token, and show it at a participating petrol station. The discount shows on the pump.

How the tokens work

• Bikes, rickshaws and other two- and three-wheelers: one Rs 500 token a week, usable on any quantity of petrol. The earlier 5-litre minimum per fill was removed on 19 September, so a rider who buys 2 litres at a time still gets the full Rs 500 off over the week. Pumps may not deduct any service charge from the token.
• 800cc cars: unchanged, a token covers 10 litres (Rs 1,000 off) and can be used once every 10 days, three tokens a month.

Rickshaws and loaders must be registered with provincial Excise to qualify. If yours is not, register it with Excise first; provinces have started doing this for rickshaws.

What it is worth at today's price

At Rs 393.75 a litre, a registered buyer pays Rs 293.75.

Anything above the quota is charged at the full pump price. A rider who fills 30 litres a month still pays full price on the last 10 litres, Rs 3,937.50. See what a full tank costs now. Work out your own monthly bill with the fuel cost calculator.

If a pump refuses your token: complain in the PAK app

The Ministry of IT and Telecommunication has added a fuel complaint channel to the government's PAK app, so a refusal can be logged and tracked instead of argued about at the forecourt.

1. Open the PAK app.
2. Choose the Fuel Complaint option.
3. Describe the problem: token refused, discount not applied at the pump, or the station saying its system is down.
4. Enter the petrol station's details, including name and location.
5. Add anything else asked for and submit.
6. Track the complaint's progress in the app.

Note the time and the pump attendant's response before you leave, and keep the token SMS. The 9772 control room remains open for scheme problems by phone.

The mistakes that get people rejected

• Car not in your name. For cars, the Excise record must match your CNIC. If you bought a used car on open letter, transfer it first. This no longer applies to bikes and rickshaws: the IT Minister said on 14 September the ownership check has been delinked for two- and three-wheelers.
• Wrong registration date. Copy it from your registration card, not from memory.
• Borrowed SIM. A family member's SIM will not match your CNIC.
• Paying anyone to "register" you. Registration is a free SMS to 9771. Ignore websites and agents charging a fee.

The politics around it

Jamaat-e-Islami chief Hafiz Naeem ur Rehman has rejected the package as insufficient, putting the petroleum levy at Rs 135 a litre and valuing the relief at about Rs 25 billion against Rs 1,567 billion collected through the levy last year. JI has now deferred its Islamabad long march after an appeal from the Prime Minister, while saying it is not abandoning the protest and keeping the levy demand on the table. The Finance Division, for its part, called reports that the petroleum levy is the central point of the IMF programme "misleading".

Prices now change almost every working day, so check the latest rate on our petrol price and diesel price pages before you fill up.