Falling global rates: Oil prices slashed by 1.6%

Finance ministry says POL prices would have been reduced further had the rupee not depreciated

ISLAMABAD:

Consumers heaved a sigh of relief on Sunday after the government slashed prices of petroleum products by 1.6 per cent following the reduction in global oil prices. The new rates will be effective from September 1 (today).

In a statement, the finance ministry said that POL prices would have been reduced further had the rupee not depreciated due to the protracted political crisis that has gripped the nation

The price of High Speed Diesel (HSD) mainly used in transport and agriculture sectors has been reduced by Rs 1 per litre (0.9 per cent) from Rs 109.34 to Rs108.34 per litre.

In a bid to provide relief to the consumers, the price of petrol which is largely used in private vehicles, witnessed a cut of Rs 1.41 per litre (1.3 %) from Rs 107.97 to Rs 106.56 per litre.

Similarly, Kerosene oil, which is used for cooking purposes in remote areas where liquefied petroleum gas (LPG) is not readily available, recorded a decrease of Rs 0.06 per litre (0.1%).

Consumers of High Octane Blending Component (HOBC), mainly used in luxury and high performance vehicles saw a reduction of Rs 1.62 per litre (1.2%) from an earlier Rs 134.63 to Rs 133.01 per litre.

The price of light diesel oil, which is consumed mainly by industrial units, has also been reduced by Rs 1.19 per litre (1.3%) from Rs 93.27 to Rs 92.08 per litre.

According to the statement, Prime Minister Nawaz Sharif approved the reduction in the prices of petroleum products for the month of September 2014 following an advisory by the finance ministry.

Published in The Express Tribune, September 1^st, 2014.