The outgoing caretaker government on Thursday increased the prices of petrol by over Rs4.13 per litre, effective from March 1, 2024. However, it maintained the price of high-speed diesel (HSD), light diesel oil (LDO) and kerosene oil.
According to a notification issued by the finance ministry, the price of petrol was increased as per the recommendation of the Oil & Gas Regulatory Authority (Ogra).
After the hike, the price of petrol reached Rs279.75 while HSD is available at Rs287.33.
The Express Tribune had reported that the price of petrol may go up due to expected exchange rate adjustment.
Read more: Govt set to hike petrol prices by over Rs3/litre
The report said that the oil price revisions are based on a higher premium, exchange rate adjustment, and the current petroleum levy and general sales tax (GST) rate on petroleum products.
The import premium on petrol is estimated at $10.48 per barrel, whereas the premium on high-speed diesel is estimated at $6.50 per barrel. The government is charging Rs60 per litre petroleum levy on both.
The inland freight equalisation margin (IFEM) is Rs7.52 per litre on petrol and Rs3.92 per litre on high-speed diesel.
The sale of total petroleum products in Pakistan clocked in at 1.38 million tonnes in January, a decline of 4% year-on-year compared to 1.44 million in the same period of the previous year. The decline comes on the back of lower petrol and diesel sales.
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