ISLAMABAD: The government is set to raise oil prices by as much as Rs4.99 per litre from August 1 due to fluctuation in global oil prices.
In a summary sent to the petroleum and finance ministries on Tuesday, the Oil and Gas Regulatory Authority (Ogra) proposed not to pass on the increase in oil prices by adjusting the rate of Petroleum Levy (PL) on petroleum products to provide relief to consumers before Eid.
Sources said that the finance ministry may oppose the proposal of Ogra as it aims to boost revenue collection. However, the final decision would be taken by the prime minister.
Sources maintained that government could keep oil prices unchanged due to the upcoming occasion of Eid.
The government, though, will announce new prices on Wednesday after approval from Prime Minister Nawaz Sharif.
Following a hike in global oil prices, the price of petrol may rise by Rs2.73 per litre, High Speed Diesel by Rs4.50 per litre, Light Diesel Oil by Rs3.95 per litre and Kerosene oil by Rs4.99.
According to a summary, the consumers of High Speed Diesel (HSD), which is used mostly in the transport and agriculture sectors, may face an increase of Rs4.50 per litre, which will bring its price up to Rs111.26 from the existing Rs106.76 per litre.
The price of petrol may go up by Rs2.73 per litre from the existing Rs 101.77 to Rs 104.50 per litre.
Kerosene oil, used for cooking purposes in remote areas where Liquefied Petroleum Gas (LPG) is not readily available, may witness a hike of Rs4.99 per litre, bringing its price up from Rs96.29 to Rs101.28 per litre.
The price of Light Diesel Oil (LDO), mainly used for industrial purposes, may witness an increase of Rs 3.95 per litre, raising it from the current price of Rs92.17 to Rs 96.12 per litre.
The price of JP-1 may witness a hike by Rs4.98, JP-4 by Rs4.48 and JP-8 by Rs4.98 per litre, bringing their prices to Rs89.88, Rs82.34 and Rs89.55 per litre respectively.
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