KARACHI: Chief Minister Syed Murad Ali Shah on Saturday unveiled a targeted fuel subsidy programme with an estimated monthly cost of Rs1.72 billion that will support a transport network serving nearly 57 million passengers per month.

Presiding over a high-level meeting at the CM House, he worked out the modalities, mechanism and implementation strategy for launching a targeted fuel subsidy programme aimed at protecting citizens from the sharp rise in fuel prices, while ensuring that public transport fares remain affordable and the province’s transit system continues to operate smoothly.

According to a statement issued by the CM House, Mr Shah focused on maintaining affordable transport fares and ensuring the operational sustainability of the province’s transit network.

The chief minister said the initiative was designed to cushion the impact of unprecedented increases in petrol and diesel prices triggered by recent global geopolitical developments.

Direct cash support for bikers and financial backing for public, goods transporters announced

He noted that fuel prices had surged significantly in recent weeks, posing a serious risk of transportation fare hikes and reduced public transport usage, particularly affecting low-income groups. To counter this, the government has introduced a Targeted Peoples Fuel Differential Subsidy to bridge the gap between pre-crisis and current fuel prices.

“This programme is focused on protecting the most vulnerable segments of society while maintaining economic stability,” the CM said.

Subsidy package

Under the subsidy package, the provincial government will provide Rs2,000 cash support to every registered motorcycle owner in April. This initiative is expected to benefit millions of commuters who rely on motorcycles for daily travel.

To ensure transparency and prevent misuse, the subsidy will be disbursed through a digital, app-based system integrated with the Excise and Taxation Department databases. The system will verify vehicle registration, fitness, and ownership before transferring funds directly to beneficiaries’ bank accounts.

The chief minister directed the excise department to keep offices open for extended hours over the next 15 days to facilitate registrations and ensure smooth implementation.

The subsidy package outlined significant monthly support for transport operators, with the condition that they would not hike fares.

For buses, minibuses, and coaches, operators can get up to Rs240,000 per vehicle per month, with both federal and provincial governments chipping in.

Wagons and pickups will be given subsidies ranging from Rs50,000 to Rs100,000 monthly, while goods transport operators will also benefit, with Rs70,000 for small trucks and Rs80,000 for larger ones.

For intercity transport, subsidies have been structured in slabs based on route length, with long-distance buses eligible for up to Rs1.08 million per month, ensuring stability in fares across the province.

The subsidy programme, with an estimated monthly cost of Rs1.72bn, will support a transport network serving nearly 57m passengers per month, effectively stabilising fares and discouraging a shift towards private vehicle use.

Reaffirming his government’s commitment, the chief minister said, “We will ensure that relief reaches the people in a transparent and timely manner. This targeted approach will protect both commuters and the transport sector during these challenging times.”

The meeting was attended, among others, by provincial ministers Sharjeel Inam Memon, Mukesh Kumar Chawla, and Sardar Mohammad Bux Khan Mahar, Sindh Chief Secretary Asif Hyder Shah, Finance Secretary Fayaz Jatoi, Excise Secretary Saleem Rajput, and Transport Secretary Asad Zamin.

Published in Dawn, April 5th, 2026