Islamabad, 30 April 2024,(GNP): According to sources, it’s anticipated that the federal government will lower the prices of petroleum products, potentially resulting in a decrease of up to Rs 5 per litre for petrol and diesel.
The sources mentioned that due to the recent decrease in global crude oil prices over the past two weeks, the government might consider reducing petrol prices by Rs 5.04 and diesel prices by up to Rs 8 per litre.
At the same time, it’s anticipated that kerosene oil prices will be reduced by Rs 8.03 per litre and light diesel oil (LDO) prices by Rs 5.4 per litre.
The Oil and Gas Regulatory Authority (OGRA) hasn’t submitted its summary yet, and the Finance Ministry will make the final decision on any reduction in petroleum product prices after consulting with the prime minister.
If the anticipated price reduction occurs, petrol would decrease from Rs 293.94 to Rs 288 per litre, and diesel from Rs 290.38 to Rs 282.38 per litre for the upcoming fortnight.
The new rate for kerosene oil will be Rs 85.05 instead of the current Rs 93.08 per litre, while the price for LDO will be reduced to Rs 168.97 from Rs 174.34 per litre.
As reported by The News, the new prices for petroleum, oil, and lubricants (POL) have been calculated considering the current government taxes. The internal freight equalization margin for petrol will remain at Rs 6.75 per litre and for HSD (High-Speed Diesel) at Rs 3.71 per litre. Additionally, sources mentioned that the premium for petrol is $9.60 per barrel, and for HSD it is $6.50 per barrel.
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The data indicates that the ex-refinery price of petrol could decrease to Rs 205.80 from Rs 210.68 per litre, HSD to Rs 202.70 from Rs 210.07 per litre, kerosene to Rs 175.46 from Rs 183.49 per litre, and LDO to Rs 162.85 from Rs 168.02 per litre.
The government is imposing a petroleum levy (PL) of Rs 60 per litre on both petrol and diesel, while dealers receive a margin of 8.64 per litre on each product. Additionally, district margins, including extra margins, are charged at Rs 7.87 per litre on both petrol and diesel.
It’s worth noting that on April 15, the government increased petrol and diesel prices by Rs 4.5 and Rs 8.1 per litre, respectively.
Every 15 days, the government reviews and adjusts petroleum product prices in line with global oil price fluctuations and changes in the local currency’s value.
The government takes into account the expected fuel consumption and supply costs of Pakistan State Oil, the state-owned oil corporation, along with monthly tax targets, when deciding on petroleum product prices.