OGRA recommends Rs7 hike in petrol price
New prices of petroleum products will be announced after approval by Prime Minister Imran Khan.
ISLAMABAD (Dunya News) – The Oil and Gas Regulatory Authority (OGRA) on Wednesday recommended to the Petroleum Division that the prices of petroleum products be raised.
In a summary sent to the Petroleum Division, the OGRA has recommended price hikes of Rs7 per liter in petrol and Rs6 per liter in Light Diesel Oil.
The regulator has also suggested Rs9.50 per liter in price of High Speed Diesel (HSD) and an increase by Rs6 in the price of Kerosene Oil for the month of August 2020.
New prices of petroleum products will be announced after approval by Prime Minister Imran Khan.
On June 27, the federal government had increased the prices of petroleum products with immediate effect. According to statement issued by the Finance Division, the Government has decided to revise the existing prices of petroleum products in view of the rising oil prices trend in the global market.
The price of petrol has been increased by Rs25.58 to Rs100.10 per litre, while price of High Speed Diesel (HSD) has been increased by Rs21.13 to Rs101.46 per litre.
On the other hand, the price of Light Diesel Oil (LDO) has been increased by Rs17.84 to Rs55.98 per litre and the price of Superior Kerosene Oil (SKO), has been increased by Rs23.50 to Rs59.06 per litre.
The government had cut local prices four times since March 1, resulting in an overall drop of Rs42.1 per litre from Rs116.56 to Rs74.5 per litre (official rates). It was able to do so after international crude oil prices crashed.
However, the government doubled petrol tax from Rs15 as of January to Rs30 now. The government charges sales tax on petrol at 17%, but it keeps changing the amount of the petroleum levy, which is its main tool to increase tax revenue from oil consumption or pass on any relief to the consumers. Presently you pay Rs41 on every liter of petrol, including sales tax.
