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PM Shehbaz urges provinces to release funds for fuel subsidy amid energy crisis

by Sub News
April 5, 2026
PM Shehbaz urges provinces to release funds for fuel subsidy amid energy crisis
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Islamabad, April 5, 2026: Prime Minister Shehbaz Sharif on Sunday called on provincial governments to expedite the release of their financial shares for a targeted fuel subsidy programme aimed at supporting motorcyclists, as well as public and goods transport sectors, amid an ongoing energy crisis.

Chairing a meeting on austerity measures, the prime minister emphasized the need for swift coordination to ensure timely relief to the public. He praised Sarfaraz Bugti for promptly disbursing Balochistan’s share in the package, expressing hope that other provinces would follow suit.

The federal government recently replaced blanket fuel subsidies with a targeted relief programme, under which provinces are contributing approximately Rs200 billion over three months in line with their National Finance Commission (NFC) shares.

Punjab is expected to contribute around Rs100 billion, Sindh Rs51–52 billion, Khyber Pakhtunkhwa Rs15 billion, and Balochistan approximately Rs8–9 billion.

The government has already begun disbursing subsidies through digital wallets to ensure transparency. Although initially scheduled to start Monday, the process was launched ahead of time on Saturday.

Under the package, passenger buses are receiving a monthly subsidy of Rs100,000, while minibuses and wagons are being provided Rs40,000 per month to prevent fare hikes.

To curb rising prices of essential commodities, trucks are being given Rs70,000 monthly, large freight vehicles Rs80,000, and delivery vans Rs35,000, according to officials.

The prime minister said the government has rolled out a broader relief package worth Rs129 billion over the past three weeks. He highlighted that the petroleum levy had been reduced by Rs80 per litre to provide immediate relief to consumers.

He added that Pakistan Railways is offering a subsidy of Rs6 billion, ensuring no increase in passenger and freight fares. Additionally, a planned quarterly 25 percent increase in toll taxes has been withdrawn.

Officials also informed the meeting that the country currently has sufficient fuel reserves to meet national demand.

An implementation report on austerity measures was presented by the Intelligence Bureau (IB), while the prime minister reiterated the government’s commitment to continue taking all possible steps to support citizens during the ongoing crisis.

Tags: Balochistanenergy crisisfinancial shareIntelligence BureauIslamabadKhyber PakhtunkhwaNational Finance CommissionNFCPakistanPM ShehbazPrime Minister of PakistanprovincesPunjabShehbaz SharifSindh
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