Govt raises petrol, diesel prices

Finance Minister announced the prices of petroleum for the period starting from February 1 till February 15, 2017

ISLAMABAD: The government, while passing on to consumers the partial impact of the hike in POL prices in the international market, on Tuesday increased the prices of petrol and high speed diesel (HSD) by Rs2.25 and Rs2.26 per litre, respectively, for the first fortnight of February.

Finance Minister Ishaq Dar announced the prices of petroleum products for the period starting from February 1, 2017 till the midnight of February 15, 2017. The raise was almost half of what was recommended by the Oil and Gas Regulatory Authority (Ogra).

The minister said the Ministry of Petroleum & Natural Resources and Ogra have recommended an increase of Rs4.16 per litre in the price of MS 92 RON petrol, Rs4.29 per litre for HSD, Rs16.71 per litre for kerosene and Rs12.53 per litre in the price of light diesel oil (LDO).

“In line with the prime minister’s instructions to provide maximum relief to the common man, and keeping in view that kerosene and LDO is used by the low income segments of society, it has been decided to maintain the prices of kerosene and LDO at the current level till February 15, 2017.”

The decision is important keeping in view the fact that kerosene caters to the energy needs of poor people, especially during the winter season. This also means that the government would not only be forgoing all applicable taxes and duties on kerosene and LDO, but would also subsidise the prices of these products.

Published in The Express Tribune, February 1^st, 2017.