Prices Of Petroleum Products Slashed

 

The government on Friday night slashed the prices of the petroleum products for the next 15 days, while the Oil and Gas Regulatory Authority (Ogra) cut the rate of liquefied petroleum gas (LPG) for the month of March, according to separate notifications.

In a press release, the Finance Division stated that the prices of high-speed diesel (HSD) were reduced by Rs5.31 per liter, motor spirit (petrol) by Rs0.50 per liter, kerosene oil by Rs3.53 per liter, and light diesel oil (LDO) by Rs2.47 per liter.

n addition, Ogra announced a price reduction of Rs6.15 per kilogram of LPG. According to a statement made by the finance division, "The Oil & Gas Regulatory Authority (OGRA) has reviewed and adjusted consumer prices for petroleum products in view of recent fluctuations in the international oil market."

The prices went into effect on Friday at midnight and would remain in effect until February 15. The price of HSD decreased from Rs263.95 to Rs258.64 in the press release; the price of MS (petrol) decreased from Rs256.13 to Rs255.63; the price of superior kerosene oil decreased from Rs171.65 to Rs168.12; and the price of LDO decreased from Rs155.81 to Rs153.34.

According to the Ogra notification, the price of a domestic-use LPG cylinder decreased by Rs72.57. According to the announcement, the LPG rate for March would be Rs247.82 per kilogram. As a result, a 11 kg cylinder would now cost Rs2,924.31 as opposed to Rs2,996.88 in February.

LPG, also known as cooking gas or canister gas, is a common alternative fuel in Pakistan, primarily for cooking in homes and businesses. In addition, it is used for power generation, industrial applications, and the automotive industry as an energy source.

espite a nearly 3 per cent drop in global oil prices, the government is expected to increase petrol price for the upcoming fortnight, starting March 1.

Sources privy to the matter said the final estimate on February 28 suggests that the ex-depot price of petrol is likely to increase by Rs4 to Rs4.50 per litre.

However, the prices of high-speed diesel (HSD) and kerosene may see a minor decline of less than Rs1 per litre.

The proposed increase in petrol prices comes amid a slight uptick in international rates and a depreciation of the rupee against the US dollar.

While benchmark Brent crude oil prices have remained relatively stable over the past ten days, exchange rate volatility has contributed to the anticipated hike in local fuel prices.

Current petrol, deisel prices in Pakistan 

At present, ex-depot petrol is priced at Rs256.13 per litre, while HSD is available at Rs263.95 per litre. The official price of kerosene stands at Rs171.65 per litre, though it is being sold at Rs300 to Rs350 per litre in many areas due to supply constraints.

The government collects around Rs76 per litre in taxes on petrol and HSD, including a Petroleum Development Levy (PDL) of Rs60 per litre. While the General Sales Tax (GST) remains at zero, the authorities levy an additional customs duty of Rs16 per litre on both products, regardless of whether they are locally refined or imported.

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