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Pakistan Faces Heat! Provinces Announce Fuel Curbs, Schools Shut Amid Global Oil Crisis

Khyber Pakhtunkhwa cuts fuel allowance for government vehicles, while Punjab and Balochistan close educational institutions as energy pressures mount.

Pakistan Faces Heat! Provinces Announce Fuel Curbs, Schools Shut Amid Global Oil Crisis
Photo by Zbynek Burival on Unsplash

Pakistan's provinces have rolled out fuel-saving measures as the global oil crisis deepens following the Middle East conflict, with authorities cutting fuel allowances, introducing work-from-home policies and temporarily closing educational institutions, according to a report by the Dawn newspaper.

The government of Khyber Pakhtunkhwa has announced a series of austerity steps for the next two months, including a 25% reduction in fuel allowances for official vehicles. The provincial cabinet approved the plan under the “Fuel Conservation and Responsible Governance Initiative.” The decision was taken on the instructions of Chief Minister Sohail Afridi.

According to Special Assistant to the Chief Minister on Information Shafi Jan, the reduction will bring the total cut in fuel allowances to 50%, as a previous 25% reduction had already been in place since the COVID-19 pandemic. However, the cuts will not apply to police, rescue services and other law-enforcement agencies.

Shafi Jan also said the cabinet had approved a 50% work-from-home policy for government departments, with official meetings to be conducted virtually. The provincial government is also considering keeping educational institutions closed every Friday and prioritising online learning. Other measures include limiting the use of VIP protocol vehicles and helicopters, banning unnecessary official events and dinners, and ensuring strict monitoring of fuel stations to prevent hoarding.

“Supply of diesel to farmers for wheat harvesting will be ensured,” Jan said, adding that the government aims to protect the economy “without burdening the people.”

The development comes shortly after the chief minister announced a subsidy for registered motorcycle riders in the province following the recent increase in fuel prices.

Also Read: Iran War Sends Pakistan's Oil Import Bill Soaring; Costs May Touch $600 Million Per Month

Punjab Imposes Fuel Cuts, Shuts Schools

Separately, the government of Punjab announced its own fuel-saving measures amid economic pressures linked to the regional conflict. According to a statement shared by the Pakistan Muslim League‑N (PML-N), Chief Minister Maryam Nawaz has directed that provincial ministers will not receive free petrol until the end of the ongoing petroleum crisis.

Fuel allowances for official vehicles have also been reduced by 50%, while the use of protocol vehicles by ministers and senior officials has been restricted to one additional security vehicle. The government is also implementing a work-from-home policy in offices, with only essential staff required to attend in person.

Punjab authorities have further ordered the closure of schools, colleges and universities from March 10 to March 31, though examinations will continue as scheduled and institutions may hold online classes. Officials said public services under the “Maryam Ke Dastak” initiative — which provides documents such as domicile certificates, birth certificates and driving licences through the Punjab Information Technology Board — will continue during the period.

The government has also postponed the Horse and Cattle Show 2026, restricted official outdoor activities and ordered district-level petroleum monitoring committees to track fuel supply. Maryam Nawaz also directed authorities to monitor transport fares and food supply, warning of legal action against those overcharging commuters.

Balochistan Orders Temporary Closure of Institutions

Meanwhile, the government of Balochistan has ordered the closure of educational institutions until March 23 due to fuel shortages linked to the regional situation. A notification issued by the provincial College, Higher and Technical Education Department said all intermediate colleges, degree colleges, technical institutions and public-sector universities would remain closed during this period. The School Education Department also directed the closure of all public and private schools across the province from March 9 to March 23.

However, authorities clarified that ongoing enrolment campaigns, the digital census of schools and examinations will continue according to schedule. According to Dawn, the measures across the provinces aim to manage fuel consumption and ensure administrative preparedness as the global energy shock triggered by the Middle East conflict continues to affect Pakistan's economy.

Also Read: Surge In Petrol, Diesel Prices Unlikely Despite Skyrocketing Crude Prices: Govt Sources

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