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Wednesday, November 6, 2024
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Patrol Price Panic – The government is set to announce the increased price of patrol

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Sources in the petroleum division, who spoke to media on the condition of anonymity, shared that the price of crude oil in the international market has gone up.

However, they clarified that the PD hasn’t received the summary regarding prices from the Oil & Gas Regulatory Authority (Ogra).

When questioned about the potential for an increase, officials indicated it was premature to determine if there would be a rise in prices.

However, regardless of speculation, the ultimate decision regarding petroleum product pricing rests with the Finance Ministry, advised by the prime minister.

Should the government approve a hike in petrol prices today, it would mark the second increase this month owing to surging international crude prices.

In the previous bi-weekly review, the federal government raised petrol prices by Rs9.66 per liter but reduced high-speed diesel (HSD) prices by Rs3.32 per liter.

Fuel prices are subject to review every 15 days by the government, adjusted based on global oil price fluctuations and the local currency’s exchange rate.

Pakistan, heavily reliant on imported oil (about 85% of its needs), grapples with a balance of payments crisis and significant inflation.

Rising fuel costs are expected to ripple through living expenses and transportation in the country, with petroleum product sales dropping by 19% year-on-year in February.

This decline primarily stemmed from reduced gasoline and diesel sales as consumers curtailed spending amidst the economic downturn. The government imposes a Rs60 per liter petroleum development levy (PDL) on both petrol and HSD.

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