It seems that petrol price will keep going up in the near future. Last week, the government increased the price by Rs8, taking it over Rs145/litre. And now sources have brought another bad news, claiming that the price will go up by Rs11 after November 15, 2021.
It is pertinent to mention that the government revises the prices after every 15 days. However, the last price hike was sudden and unannounced. The price hike came days after Prime Minister Imran Khan announced a ”Relief Package’ for the masses. Furthermore, the current petrol price is the highest in the country’s history, and if the government further increases by Rs11, it will increase the burden on already inflation-hit masses.
Current Rates
The current petrol price is Rs145. 82 after seeing a jump of Rs8.03. Meanwhile the rate of High-Speed Diesel (HSD) was increased by Rs8.14, taking its rate to Rs142.62 from Rs134.48. Furthermore, after seeing a jump of Rs6.72, the rate of Kerosene Oil had reached Rs116.53 from Rs110.26. And the current price of Light Diesel Oil (LDO) is Rs114.07 compared to the last price of Rs108.35, meaning it saw a jump of Rs5.72.
According to a notification by the finance ministry, the new prices were implemented from November 5, 2021.
Govt’sGovt’s Stance on Petrol Price
The notification stated that “maintaining the October 16, 2021 petroleum prices had some underlying concerns,e.g., cash flow issues due to the short recovery of the cost.”
It further said that it is important to note that the previous petroleum prices already a significant relief was provided to the consumers. “The government is providing maximum relief to the consumers. This has dented the Petroleum Levy (PL) budget of Rs. 152.5 billion during July-September, 2021, as compared to Rs. 20 billion realized only,” it further read.
As mentioned earlier, the new price hike will further increase inflation, reaching 9.2% in October. However, the government argues that the prices have been increased due to international hikes.
What do you think about this report? Do you believe global inflation is responsible for these hikes? Share your thoughts in the comments section.
