Stop enjoying cheap petrol price in Pakistan, this is the sound resounding in everyone’s head now, as the petrol prices see an increment in global market Pakistan is also affected relatively.
Pakistani consumers are now expected to see up to Rs5.19 per litre increase from Wednesday, the Oil and Gas Regulatory Authority (OGRA) recommended an increase in the price of motor spirit (Petrol) by Rs2.49 and of High-Speed Diesel (HSD) by Rs5.19 per litre for the month of November.
Since the last few months Petrol prices have been increasing with every month, now the increase of 3.4 percent in petrol price and 6.5 percent in HSD is quite worrisome for the sectors. HSD is mostly used in transport, generating electricity and in agriculture. The overall increase in prices would indirectly affect the prices of others services such as; transport, electricity, food and other consumer products.
Gas crisis is another big issue in Pakistan, following that the government plans to use imported (LNG) in the transport sector.
According to the summary forwarded to the government by OGRA, the proposed changes include an increase of Rs15.99 litre (33.3 percent) in the price of Kerosene oil and Rs12.63 (27.5 percent) in the price of light diesel oil (LDO).
The prime minister will approve the changes proposed and make the final decision on the prices.
If the government approves OGRA recommendation the new prices will be as follows:
Petrol = Rs75.99 per litre
HSD = Rs84.59 per litre
Kerosene = Rs63.99 per litre
LDO = Rs58.63 per litre
Besides prices, the government is charging the highest rate of GST on HSD which is 31%, while on other petroleum products the GST is 17%. Additionally, there is another type of tax apart from GST, consumers are paying Rs8 per litre petroleum Levy on HSD, Rs2.49 on petrol, Rs6 on kerosene and Rs3 on LDO.