Inflation in 2023 squeezed life out of Pakistanis

Prices of POL products, gas and power jacked up to unprecedented levels

ISLAMABAD:

In the year 2023, first the coalition government and then the caretaker set-up continued to drop inflation bombs on the people.

In January 2023, the prices of petrol and high-speed diesel (HSD), which were Rs214 and Rs227 per litre, went up to Rs267.34 and Rs276.21 in December this year, respectively.

During the tenure of the caretaker government, the prices of these two fuels crossed the triple century mark for the first time in the country’s history – with petrol hitting Rs331 and HSD Rs329 per litre.

Overall, the price of petrol increased by Rs53 per litre and the cost of HSD went up by around Rs49 per litre during the year 2023.

From January to August, the coalition government increased the prices of petroleum products seven times, maintained them twice and reduced them six times.

The interim set-up increased them four times, reduced them thrice and maintained them twice.

During the last three months of the year, the prices of petrol and HSD were reduced by Rs64.04 and Rs52.99 per litre, respectively.

In January, the petrol was being sold for Rs214, HSD for Rs227.80, light diesel oil (LDO) for Rs169, and kerosene for Rs172 per litre.

The first price hike of the year came in the month of February when the price of petrol jacked up to Rs249, HSD to Rs262.8, LDO to Rs187, and kerosene to Rs189.83 per litre.

On August 2, just before handing over power to the caretaker set-up, the coalition government increased the prices of petrol and HSD by Rs19.95, taking them to Rs272.95 and Rs273.40, respectively.

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The interim government announced a hefty hike in the prices of petrol and HSD as soon as it came to power.

On August 16, the price of petrol was increased by Rs15.5 and diesel by Rs20 per litre.

However, the caretaker government kept the prices of LDO and kerosene unchanged.

On September 1, the prices of petrol and HSD were increased once again by Rs14.91 and Rs18.44 per litre, respectively, crossing the barrier of Rs300 for the first time in the country’s history.

After this hike, petrol and HSD were available for Rs305.36 and Rs311.84 per litre.

On September 15, petrol and HSD prices were hiked by Rs26.02 and Rs17.34 per litre respectively, taking them to their all-time high of Rs331.38 and Rs329.18 per litre.

After October 1, the caretaker government started providing relief to the people. It reduced the prices of petrol and HSD byRs64.04 and Rs52.99 per litre till December 15.

During the year 2023, the prices of electricity and gas also continued to increase with an additional Rs1.52 trillion withdrawn from the pockets of consumers.

Gas became expensive by 312% in the year, and its consumers put up with an additional burden of Rs711 billion.

An additional burden of Rs477 billion was put on the consumers of electricity.

The average electricity tariff reached Rs29.78 per unit.