The government of Pakistan has increased the prices of all petroleum products. It is increased up to 11% and this is applicable from November.
Prime Minister Shahid Khaqan Abbasi approved this rise in prices. He also ended the part played by Ministry of Finance in raising or decreasing petroleum goods’ prices. He told the petroleum ministry to tell about increased rates of petroleum product prices to the oil companies.
Ex-depot price of high-speed diesel (HSD) and price of petrol is increased by Rs 5.19 per liter and Rs2.49 per liter respectively. Price of kerosene oil and price of light diesel oil (LDO) is increased by Rs5.19 per liter and by Rs3 per liter respectively.
Prices of kerosene, LD), HSD and Petrol are increased by 11%, 6.81%, 6.5% and 3.4% respectively.
Now the new prices of the ex-depot price of HSD, the ex-depot price of petrol, the ex-depot price of kerosene, and LDO are Rs84.59 per liter, Rs75.99 per liter, Rs53.19 per liter and Rs47 per liter respectively. The previous rates of all four were Rs79.40, Rs73.50, Rs48 and Rs44 per liter.
Oil prices are revised at the end of every month. OGRA recommended an increase in prices of petrol by Rs 2.49 per liter and High-Speed Diesel (HSD) by Rs5.19 per liter for the month of November. This has been approved by Prime Minister now.
Prime Minister, as Minister for Petroleum, supported increasing prices of kerosene and light diesel oil which he has done now. He has increased prices kerosene oil and LDO as he believes that it would reduce the price difference between kerosene and petrol and people would stop mixing kerosene in petrol considering it cheaper.
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He thinks that Rs 30 per liter price difference in petrol and kerosene was boosting dishonest marketers to combine kerosene in petrol. Prime Minister Abbasi has taken the move that former Prime Ministers were reluctant to take.
The question is that the Prime Minister has increased the prices of kerosene, but he has increased the prices of petrol as well. What difference would it make if both products prices is being increased?