ISLAMABAD: Pakistan is working to prevent fuel “dry-outs” as an ongoing conflict in the Gulf has disrupted global supplies, Petroleum Minister Ali Pervaiz Malik said on Monday, a day after Islamabad announced targeted subsidy on petrol.

Pakistan has consistently raised fuel prices over the past few weeks, with the latest surge coming on Friday as the government raised the price of high-speed diesel to Rs403.32 [$1.46] per liter and petrol to Rs375.82 [$1.36] per liter till Sept. 14.

The price surge came as Brent crude traded above $105 a barrel, amid persistent concerns over supply through the Strait of Hormuz and Red Sea. On Sunday, the government announced Rs100 ($0.36) subsidy on petrol for users of two- and three-wheelers and small cars to help reduce financial burden of rising prices.

“The government has tried to protect the people from being burdened excessively at this time and has tried to stand in the way of this storm to protect them,” Petroleum Minister Malik said at a joint presser with other federal ministers.

“The government is trying to make sure that there are no dry-outs in the last round.”

He said the government wanted to provide relief to salaried and middle-class people in a dignified manner.

“They will be able to get fuel at approximately the same price that existed before the war, while the government is purchasing fuel at twice that price,” Malik said, adding that private-sector refineries had positively responded to their request to change the pricing formula for refined products.

“Even today, I sat with them for an hour and discussed how we can ensure that there are no problems with oil availability in September or October.”

The government has announced Rs100 subsidy on 20 liters of petrol per month for two-wheelers and three-wheelers. These include motorcycles, rickshaws, and qingqis.

Similarly, owners of small vehicles of up to 800cc will be provided the same subsidy on 30 liters of petrol per month.

To avail subsidy, people can register them by sending a text message to 9771 along with details, including computerized identity card number, registration number of vehicle, province or region where it is registered, and the registration date of the vehicle, according to Information Technology (IT) Minister Shaza Fatima Khawaja.

“The registration date tells us that you have the documents of your motorcycle or car. In the last scheme, we had a condition that only the owner of the motorcycle can register. But we all know that in Pakistan, people drive second-hand, third-hand, fourth-hand motorcycles and drive on open transfer letters,” she said.

“So, we have delinked the owner for two-wheeler and three-wheeler. It is still necessary for the car.”

She said registered individuals will receive token numbers which they can show at fuel stations to avail subsidy.

“It may take a week or a week and a half, in adoption,” the minister said. “We will make this entire program better and more efficient.”

This is the second fuel subsidy announced by Islamabad this year due to the ongoing US-Iran war. Pakistani federal and provincial authorities announced multi-level relief in April to protect consumers from surging fuel costs, rolling out free transport, fare freezes and targeted subsidies as global oil prices rose.