Fuel prices marginally reduced
Diesel rates kept unchanged despite oil prices falling in international market
PHOTO: FILE
ISLAMABAD:
The government on Thursday announced a decrease in petroleum prices for the month of February, reducing the rates of petrol by Rs0.59 and light diesel oil (LDO) by Rs0.25 per litre, respectively.
The government, however, rejected Oil and Gas Regulatory Authority (Ogra) recommendations for Rs4.68 per litre decrease in high speed diesel (HSD), which is used in trucks and buses. Ogra’s recommendation for decrease in kerosene oil and LDO was also partially accepted.
After the decision, the price of HSD would stay unchanged at current Rs106.68 per litre, while petrol has come down to Rs90.38 per litre from existing price of Rs90.97 per litre. LDO is now available at Rs75.03 instead of Rs75.28 per liter. Kerosene oil’s price has gone down to Rs82.25 from Rs82.98 per litre.
A notification issued by the finance division stated that the government has decided to reduce the prices of petroleum products, barring HSD, for the month of February. While price of HSD has been maintained at the current level, the price of petrol has been reduced by Rs0.59, kerosene by Rs0.73 and that of LDO by Rs0.25 per litre, said the notification.
In a summary to the petroleum and finance division, Ogra had recommended decrease in the prices of almost all the petroleum products. It had recommended slashing rates of petrol by Rs0.59 per litre, diesel by Rs4.68 per litre, kerosene by Rs1.92 per litre, and LDO by Rs0.92 per litre. It had cited falling oil prices in the international market as the reason for the decrease.
Analysts argue that a greater reduction could have resulted in much-needed relief for users by passing the benefits of falling oil prices. Furthermore, the government also declined to pass on the Ogra recommended relief of Rs 4.68 in HSD prices.
The new prices will be effective from midnight of February 1 and stay in effect till the end of the month.
The government on Thursday announced a decrease in petroleum prices for the month of February, reducing the rates of petrol by Rs0.59 and light diesel oil (LDO) by Rs0.25 per litre, respectively.
The government, however, rejected Oil and Gas Regulatory Authority (Ogra) recommendations for Rs4.68 per litre decrease in high speed diesel (HSD), which is used in trucks and buses. Ogra’s recommendation for decrease in kerosene oil and LDO was also partially accepted.
After the decision, the price of HSD would stay unchanged at current Rs106.68 per litre, while petrol has come down to Rs90.38 per litre from existing price of Rs90.97 per litre. LDO is now available at Rs75.03 instead of Rs75.28 per liter. Kerosene oil’s price has gone down to Rs82.25 from Rs82.98 per litre.
A notification issued by the finance division stated that the government has decided to reduce the prices of petroleum products, barring HSD, for the month of February. While price of HSD has been maintained at the current level, the price of petrol has been reduced by Rs0.59, kerosene by Rs0.73 and that of LDO by Rs0.25 per litre, said the notification.
In a summary to the petroleum and finance division, Ogra had recommended decrease in the prices of almost all the petroleum products. It had recommended slashing rates of petrol by Rs0.59 per litre, diesel by Rs4.68 per litre, kerosene by Rs1.92 per litre, and LDO by Rs0.92 per litre. It had cited falling oil prices in the international market as the reason for the decrease.
Analysts argue that a greater reduction could have resulted in much-needed relief for users by passing the benefits of falling oil prices. Furthermore, the government also declined to pass on the Ogra recommended relief of Rs 4.68 in HSD prices.
The new prices will be effective from midnight of February 1 and stay in effect till the end of the month.