Petrol Price has been increased by Rs3.86 and will now cost Rs103.97, compared to old price of Rs 100.11. According to a notification, the government has decided to revise the existing prices of petroleum products in view of rising oil prices trend in global market.
The new prices will be applicable from August 1, 2020.
According to the notification, new price of high speed diesel is Rs 106.45 after hike of Rs5, while Kerosene Oil saw a jump of Rs 5.97 as its new rate is Rs 65.29
Meanwhile, the new price of Light Diesel is Rs62.86 after an increase of Rs 6.62.
Petrol Price Notification:
Earlier, in month of July T]the government of Pakistan increased the petrol price by Rs25.58 per liter, taking it back to Rs100.
According to a notification by Finance Ministry, the price of high diesel was increased by Rs21.31. The price of Kerosene oil and light diesel were increased by Rs23.50 and Rs17.84, respectively.
The Oil and Gas Regulating Authority (OGRA) recommends new petroleum prices at the end every month. However, that time the Petroleum Division has suggested this massive hike in the prices. After reduction of prices of crude oil in international market, the government had cut petrol prices for four times since March. The reduction took the price from Rs116.56 to Rs74.5 per liter.
The statement by Finance Ministry also read that the decision to revise the prices of petroleum products upwards was taken “in the view of rising oil prices in global market.”
The government determines local petrol prices based on past prices of international oil. It calculates the prices by keeping view the rates at which crude oil was imported by the country. The means the petrol you use today was imported in its raw form around 45 days earlier.
Earlier, when petrol was at Rs74.5 per liter, the government was criticized for imposing record-high Petroleum Levy (PL) on petroleum goods. According to statistics, federal government increased the PL on petrol by 20.3%, taking it from Rs19.73 to Rs23.76 per liter. Meanwhile, high-speed diesel was hiked from Rs25.05 to Rs30 per liter. Moreover, the PL on Kerosene oil and light-speed diesel stands at Rs18.02 and Rs11.18 per liter, respectively.