Petrol Price cut by Rs 8.48 per litre
The prime minister had accepted the proposal of the Oil and Gas Regulatory Authority
Dunya News Report (Jibran Dost)
Prime Minister Nawaz Sharif on Monday announced major reduction in prices of petroleum products by up to 12 per cent for March. A cut of Rs 8.48 per litre in petrol, Rs 4.67 in high speed diesel, Rs 1.97 in light diesel and Rs 2.98 in high octane came in effect on Monday midnight.
According to an official statement by the Prime Minister’s office, Nawaz Sharif expressed “It is our duty to serve the masses wholeheartedly and with full sincerity.”
The prime minister had accepted the proposal of the Oil and Gas Regulatory Authority (OGRA) to reduce the prices of petrol, high speed diesel (HSD), high octane blending component (HOBC) and light diesel oil (LDO).
Neglecting the shortfall in revenue, the government was focused to give priority to the interest of the people and ensured to pass on every relief to the people, Prime Minister Nawaz Sharif expressed.
The recommendation to increase the price of Kerosene oil by Rs 1.66 per litre was also rejected by the prime minister because it was used by the poor who could not afford the increase in the price.
Based on PSO purchases from the international market, a reduction of Rs 8.48 (11.90 per cent) in the price of petrol to Rs 62.77 per litre from Rs 71.25, Rs 4.67 (6.16 per cent) in the price of HSD to Rs 71.12 per litre from Rs 75.79, Rs 1.97 (4.93 per cent) in the price of LDO to Rs 37.97 per litre from Rs 39.94 was approved. Whereas the price of HOBC was reduced by Rs 2.98 (3.94 per cent) to Rs 72.62 per litre from Rs 75.60
Pakistan was the only country in the region that passed on the cut in the price of petroleum products to the people every time the price for petroleum products decreased in the international market, the statement further added.
In contrast, the government, at present, is collecting as much as Rs 25 per litre taxes on petrol. Rs 14.58 fixed sales tax and Rs 10 as petroleum development levy. Moreover, it is collecting about Rs 38 per litre taxes on HSD, including a fixed sales tax of Rs 29.57
On Friday, Oil and Gas Regulatory Authority (OGRA) forwarded a summary to the Ministry of Petroleum and Natural Resources to reduce petroleum prices by Rs 8.48 per litre for the month of March.
Earlier this week, Justice Mamnoon Rashid Sheikh of Lahore High Court (LHC) required a report from the federal government to explain why it was not able to follow the recommendations of the OGRA with regard to reduction in petroleum prices.
Advocate Malik Munsif Awan, the head of Justice Party, had moved the petition submitting that the prices of petrol should not exceed Rs 30 a litre even with the adding of income and allied taxes.
