Islamabad, Pakistan – The Pakistani federal government announced Tuesday a price increase for both petrol and high-speed diesel (HSD), effective promptly. Petrol prices rose by Rs4.07 per litre, reaching Rs268.68 from the previous Rs264.61. Together, HSD prices increased by Rs4.04 per litre, settling at Rs276.81 compared too Rs272.77.
The Finance Division stated the adjustments were made based on recommendations from the Oil and Gas Regulatory authority (Ogra) and relevant ministries.
Petrol, a primary fuel for motorcycles, rickshaws, and private cars, significantly impacts the finances of middle- and lower-income families. HSD is crucial for heavy transportation, agriculture, and the railway system, and its price fluctuations are considered a key driver of inflation, affecting the cost of food and essential commodities.
Currently, the government does not impose a Goods and Services Tax (GST) on petroleum products but levies considerable charges, including Rs79.50 per litre on diesel and Rs80.52 per litre on petrol and high-octane fuels, incorporating a Rs2.50 per litre charge under the CSL. Customs duties of approximately Rs16-17 per litre are also applied to both petrol and diesel, irrespective of import or local production status.
In a separate announcement, Ogra reported a decrease in the price of liquefied petroleum gas (LPG) by rs.6.70 per kilogramme for October. An 11.8kg LPG cylinder will now cost Rs2,448.33, down from Rs2,527.47 in September – a reduction of Rs79.14 or 3.13 percent.
Ogra explained the LPG price is linked to Saudi Aramco-CP and the US dollar exchange rate, noting a 3.78pc decrease in Saudi Aramco-CP, offset by a slight 0.23pc increase in the average dollar exchange rate.
