Government decreases the price of petrol and high-speed diesel (HSD) by Rs1.5 per litre

[Major]

ISLAMABAD: Prime Minister Imran Khan late Wednesday approved a summary of the Oil and Gas Development Authority's (OGRA) recommendation to hike the price of petrol by Rs5.15.

Per-litre prices of all petroleum products were jacked up, with petrol, diesel, kerosene oil, and light diesel now costlier by Rs5.15, Rs5.65, Rs5.38, and Rs8.90, respectively.

The new prices for a litre of petrol, diesel, kerosene oil, and light diesel were Rs117.83, Rs132.47, Rs103.84, and Rs90.52, respectively.

The new prices were set to come into effect starting Thursday, 0000 hours.

Earlier, the regulatory authority had recommended that the respective per-litre prices of petrol, diesel, kerosene oil, and light diesel be bumped up to Rs117.83, Rs135.72, Rs103.84, and Rs94.27.

https://www.geo.tv/latest/244055-pm-imran-approves-rs515-hike-in-petrol-price

 

[Major]

Its not the price of petrol that makes one angry. Its the lying campagnes of our munafiq PM.

He bashed other govts for petrol prices, and even went on to say that hte prices went down because of his dharna(he is no different then Khadim rizvi's kambal lihaaf economic policies lol)

He made false promises that when he will come into power, he will bring the prices down and what not

And now look

 

[Hitman]

Its not the price of petrol that makes one angry. Its the lying campagnes of our munafiq PM.

He bashed other govts for petrol prices, and even went on to say that hte prices went down because of his dharna(he is no different then Khadim rizvi's kambal lihaaf economic policies lol)

He made false promises that when he will come into power, he will bring the prices down and what not

And now look

I’ve read quite a few of your posts on Imran. Why are you so against him?

 

[Major]

The federal government on Wednesday increased the prices of all petroleum products for the month of August amid a slight reduction in the international crude price, sources told DawnNewsTV.

The sources said that the government approved all the recommendations of the Oil and Gas Regulatory Authority (Ogra) for the current month.

In the latest development, the government increased the price of petrol (motor spirit) by Rs5.15 per litre and Rs5.65 for High Speed Diesel (HSD). Similarly, the price of kerosene was increased by Rs5.38 and Rs8.9 for Light Diesel Oil (LDO).

Earlier on Tuesday, the regulatory authority had moved a summary to the government containing calculations on petroleum prices on the basis of higher general sales tax and petroleum levy.

According to an official, the crude price had dropped by more than 12 per cent in the Arabian Gulf to $63 per barrel on July 30 from $72 on April 28, but the government had been gradually increasing tax rates.

The government increased the ex-depot rate of HSD to Rs132.47 per litre, from Rs126.82, showing an increase of about 4.45pc.

Likewise, the government increased the ex-depot price of petrol to Rs117.83 per litre from Rs112.68 — up about 4.6pc.

Similarly, the ex-depot price of LDO was fixed at Rs97.52 per litre — up more than 10pc over the previous rate of Rs88.62. The kerosene price was fixed at Rs103.84 per litre, showing an increase of about 5.5pc over the previous rate of Rs98.46.

The government is charging 17pc general sales tax (GST) on all petroleum products. Besides the GST, the petroleum levy ranging between Rs14-18 per litre was being charged on petrol and HSD and Rs3-6 on kerosene and LDO.

Petrol and HSD are two major products that generate most of the revenue because of their massive and yet growing consumption in the country. Total HSD sales are touching 800,000 tonnes against monthly consumption of around 700,000 tonnes of petrol. The sales of kerosene and LDO are generally less than 10,000 tonnes per month.

https://www.dawn.com/news/1497293

 

[JaDed]

It doesn’t change everyday? Best to deregulate it imho..

 

[Lonewarrior]

can some pakistani posters tell me what was the dollar rate when mushharaf left in 2007/8 ?
i can tell you the rate of dollar, sugar,flour,cooking oil when he gave resignation,
and i also can tell you what happend after zardari govt took over in 2007/8.

musharraf govt -

Dollar in 60 rs
sugar,30 rs/kg
flour,25 rs/kg
cooking oil, 90, rs/kg.

PPP Govt- in just 2nd month

Dollar in 90 rs
sugar 75 rs/kg
flour 35 rs/kg
cooking oil 125 rs/kg

even supereme court took notice of sugar rate and order to crack down on sugar mills to control it under 35 rs/kg.

now, the upper class dont give a damn about these rates, but common people know becoz they daily face these issue.
so stop portraying PPP/PML govt some kind of messiah.

 

[Mian]

Its not the price of petrol that makes one angry. Its the lying campagnes of our munafiq PM.

He bashed other govts for petrol prices, and even went on to say that hte prices went down because of his dharna(he is no different then Khadim rizvi's kambal lihaaf economic policies lol)

He made false promises that when he will come into power, he will bring the prices down and what not

And now look

Munafqat is in the blood of jiyalas and nooras so you should be the last one calling anyone else munafiq because it's built in your family system that's why you support crooks because you guys and your families are the beneficiary of the corrupt system. Keep crying your billo and ppp ain't coming back in federal even if Imran fails.

 

[Gabbar Singh]

Aren’t such tax rises a condition of the IMF bailout?

 

[slipcatch]

Its not the price of petrol that makes one angry. Its the lying campagnes of our munafiq PM.

He bashed other govts for petrol prices, and even went on to say that hte prices went down because of his dharna(he is no different then Khadim rizvi's kambal lihaaf economic policies lol)

He made false promises that when he will come into power, he will bring the prices down and what not

And now look

You are trying to hard and that makes you ignore and neglect other factors.

True, at times, you intentionally ignore facts to promote your dead agenda.

I suggest, if you are going to try to discredit the current government of Pakistan then try not to adapt PML-N nor PPP narrative.

And, most importantly, try to educate yourself on economy before posting about economy.

 

[Major]

I’ve read quite a few of your posts on Imran. Why are you so against him?

1. His election campaign was full of lies. He bashed other govts for petrol prices for going to imf, while now he is doing the same thing acting as a begger. He tried taking credit for reduced petrol prices.
He even went on to say that he will sell petrol for 50 ruppees

2. His cabinent. He went the electable route. These guys even back some consuler who had harassed his servant

3. How he has targetted opposition politicians and thrown them in jail. Makes you think if jehangir tareen was in opposition would he be in jail for his dealings.

4. He doesnt care about minorities, the atif mian fiasco was enough.

5. The main thing was how he was elected. See there are two kinds of rigging. 1 is putting in ur fake votes like pmln did. The other way is rejecting votes. If one had followed the elections there were some very surprisinf recounts.

6. He is the servant of the army. When TLP was crating problems in pmln, army was ordered by the pm to help restore law and order and they had the audacity to say no. Infact they went on record to say they can never go against there own people(Lol PTM?). Infact the army fave out money to the dharna people, videos are there on youtube

Pti govt comes in, tlp makes another mess and this time they clear up tlp lock them people up woth ease. Where was this before? Just shows how these groups are used against govts.

7. Pti's promise to bring change. To be different. They have been hypocrites.
I have family members who work in bahria town. When ppp had jalsas those bahria workers werr forced to attend them.
Now when pti came into power, these workers are forced to attend the jalsa or rallies of pti.

Infact, i heard that the sufi university that is being made is by bahria town, whos owner is known to be corrupt and feed money to journalists to keep his name clear.

8. Inflation is on the rise right now.

9. He has military personals in the economic council which shows that who is governing this country.
Funny i mentioned how the 4th member of the economic council left due to this while some posters said bring proof. The proof is there

 

[Mian]

According to OP he lives in DHA so that means he is also helping the big evil army businesses. That's munafiqat

 

[classic]

He has been honest. Always said their will be tough times ahead for about 6 months to a year. These Nooras and Zardari have done so much damage it will take time to get things back on track. I'd rather back Imran than these lootarays.

 

[Syed1]

Somebody ask OP sahab what is the rate of petrol in India vs Pakistan. He will be shocked to know that Pakistanis pay less for the same amount of oil. We do not produce our own oil, if it goes up in the world market it goes up domestically. These days every kid on the block thinks he is an economist.

 

[Mian]

Somebody ask OP sahab what is the rate of petrol in India vs Pakistan. He will be shocked to know that Pakistanis pay less for the same amount of oil. We do not produce our own oil, if it goes up in the world market it goes up domestically. These days every kid on the block thinks he is an economist.

Somebody should ask him why he is living in DHA? isn't it called munafiqat because then he cry about Army businesses in every second post on PP.

 

[Gharib Aadmi]

1. His election campaign was full of lies. He bashed other govts for petrol prices for going to imf, while now he is doing the same thing acting as a begger. He tried taking credit for reduced petrol prices.
He even went on to say that he will sell petrol for 50 ruppees

He was scoring political points. All politicians do that. Why do you expect Imran Khan to be the politician who doesn't do politics.

2. His cabinent. He went the electable route. These guys even back some consuler who had harassed his servant

In 1997 he won 0 seats, in 2002 he won one seat (his hometown of Mianwali), in 2008 he boycotted the election. So it made sense to get some electables for 2013 and 2018. With his vote bank, plus the vote bank of the electables that had a higher chance of succses, and he was vindicated with that stategy by winning in 2018. The acha bacha routine does not work in Pakistan.

3. How he has targetted opposition politicians and thrown them in jail. Makes you think if jehangir tareen was in opposition would he be in jail for his dealings.

Pakistan is going through some tough times, and by going after the opposition he is telling the public that your sorrows are due to them. This way hopefully they wont punish him in 2023 for making difficult decisions. Plus by going after the opposition, the Establishment cant do shenanigans against him.

4. He doesnt care about minorities, the atif mian fiasco was enough.

Not fair, PML N, plus mullahs are responsible for that. PPP the liberal party said nothing until its too late.

5. The main thing was how he was elected. See there are two kinds of rigging. 1 is putting in ur fake votes like pmln did. The other way is rejecting votes. If one had followed the elections there were some very surprisinf recounts.

6. He is the servant of the army. When TLP was crating problems in pmln, army was ordered by the pm to help restore law and order and they had the audacity to say no. Infact they went on record to say they can never go against there own people(Lol PTM?). Infact the army fave out money to the dharna people, videos are there on youtube

Pti govt comes in, tlp makes another mess and this time they clear up tlp lock them people up woth ease. Where was this before? Just shows how these groups are used against govts.

The Army has not really respected any political leader. Maybe Bhutto very briefly. IK might be the second. Why blame him for the fact that they have powers beyond their constitutional role?

IK instead of having zero power on foreign policy and security like every other prime minister, had a brillant strategy of making sure that the politicians and generals are on the same page by bringing them to the table and making decisions jointly.

SO instead of having zero power he has like 50% on foreign policy and security. PML N should have thought of that.

7. Pti's promise to bring change. To be different. They have been hypocrites.
I have family members who work in bahria town. When ppp had jalsas those bahria workers werr forced to attend them.
Now when pti came into power, these workers are forced to attend the jalsa or rallies of pti.

Seems like propoganda. IK can fill Jalsa without giving beef biryani or keema naan. Wait till he has a jalsa in Wembley Stadium.

Infact, i heard that the sufi university that is being made is by bahria town, whos owner is known to be corrupt and feed money to journalists to keep his name clear.

8. Inflation is on the rise right now.

Blame PML N and PPP for that.

9. He has military personals in the economic council which shows that who is governing this country.
Funny i mentioned how the 4th member of the economic council left due to this while some posters said bring proof. The proof is there

They should not be there, but they are there because they have more power thanks to people like Nawaz Sharif and Bhutto who launched their careers due to the generals. Whats to stop someone else from using the generals to come into power? So its better to have them there now while difficult decisions are being made. Once the economy recovers IK can deal with the generals and put them in place like Erdogan.

.

 

[Majestic_Inzi]

I dont really understand, no one in pak willing to tax, where do you expect govt to get money from?

 

[Syed1]

What a munafiq IK spends only $67,000 on US trip while Nawaz spent $550,000 and Zardari spent $753,000.

Proper munafiq that IK as political expert [MENTION=135038]Major[/MENTION] explained

 

[Slog]

1. His election campaign was full of lies. He bashed other govts for petrol prices for going to imf, while now he is doing the same thing acting as a begger. He tried taking credit for reduced petrol prices.
He even went on to say that he will sell petrol for 50 ruppees

2. His cabinent. He went the electable route. These guys even back some consuler who had harassed his servant

3. How he has targetted opposition politicians and thrown them in jail. Makes you think if jehangir tareen was in opposition would he be in jail for his dealings.

4. He doesnt care about minorities, the atif mian fiasco was enough.

5. The main thing was how he was elected. See there are two kinds of rigging. 1 is putting in ur fake votes like pmln did. The other way is rejecting votes. If one had followed the elections there were some very surprisinf recounts.

6. He is the servant of the army. When TLP was crating problems in pmln, army was ordered by the pm to help restore law and order and they had the audacity to say no. Infact they went on record to say they can never go against there own people(Lol PTM?). Infact the army fave out money to the dharna people, videos are there on youtube

Pti govt comes in, tlp makes another mess and this time they clear up tlp lock them people up woth ease. Where was this before? Just shows how these groups are used against govts.

7. Pti's promise to bring change. To be different. They have been hypocrites.
I have family members who work in bahria town. When ppp had jalsas those bahria workers werr forced to attend them.
Now when pti came into power, these workers are forced to attend the jalsa or rallies of pti.

Infact, i heard that the sufi university that is being made is by bahria town, whos owner is known to be corrupt and feed money to journalists to keep his name clear.

8. Inflation is on the rise right now.

9. He has military personals in the economic council which shows that who is governing this country.
Funny i mentioned how the 4th member of the economic council left due to this while some posters said bring proof. The proof is there

So much lying.

Also during PTM dharna Shahbaz Sharif sent food and supplies to the participants

 

[ExpressPacer]

Whether [MENTION=135038]Major[/MENTION] or our other posters admit it or not, the fact of the matter remains; Inflation is at an all-time high and will summit never seen before heights in the imminent future and not even the economic policies of the United States or the Netherlands for that matter can prevent this from happening. Imran Khan does not deserve to be blamed for the catastrophe that we face, and equally so, no praise either.

What indeed Imran Khan does deserve praise for is however the fact that he has best prepared Pakistan to weather the inevitable, destructive storm. By that I allude to the poor people of Pakistan and how they will be crushed under the imminent hyperinflation but will just about - and only just - make it. They will make it. And for that, Imran Khan indeed deserves praise.

The price of petrol is rising owing to a multitude of reasons:

1) Global rise in oil prices
2) Pakistan's BOP crisis
3) The persistent fall of the Rupee at alarming rates
4) The need to collect taxes ONE WAY or ANOTHER because the people refuse to pay income tax, refuse to shut down the shadow industry, refuse to stop laundering money.

What I write from hereon is EXTREMELY important and anyone with an understanding of Economics will agree with me on this:

The Economic woes of Pakistan are only getting worse and inflation will continue to rise. However, letting the market operate freely and letting the prices rise as they should will only help Pakistan. Much to my delight and astonishment, Imran Khan is not worried about reelection, if he were, he would artificially hold the rupee up by extinguishing Pakistan's foreign exchange reserves of a mere 7 billion dollars and through aid & grants from abroad. However, he realizes that if he were to do that, Pakistan would cease to exist. Our Sovereignty, if not for the current tough economic policies, would be completely forsaken and institutions such as the WB, IMF, UN and countries like USA, China & the Arabs would dictate every single step we take. Therefore, it is extremely important that we support the Govt. and weather this storm.

Pakistan needs to survive right now, if we try for more, Pakistan will certainly lose everything.

 

[Madplayer]

Still cheaper than petrol prices in India.

 

[Major]

Whether [MENTION=135038]Major[/MENTION] or our other posters admit it or not, the fact of the matter remains; Inflation is at an all-time high and will summit never seen before heights in the imminent future and not even the economic policies of the United States or the Netherlands for that matter can prevent this from happening. Imran Khan does not deserve to be blamed for the catastrophe that we face, and equally so, no praise either.

What indeed Imran Khan does deserve praise for is however the fact that he has best prepared Pakistan to weather the inevitable, destructive storm. By that I allude to the poor people of Pakistan and how they will be crushed under the imminent hyperinflation but will just about - and only just - make it. They will make it. And for that, Imran Khan indeed deserves praise.

The price of petrol is rising owing to a multitude of reasons:

1) Global rise in oil prices
2) Pakistan's BOP crisis
3) The persistent fall of the Rupee at alarming rates
4) The need to collect taxes ONE WAY or ANOTHER because the people refuse to pay income tax, refuse to shut down the shadow industry, refuse to stop laundering money.

What I write from hereon is EXTREMELY important and anyone with an understanding of Economics will agree with me on this:

The Economic woes of Pakistan are only getting worse and inflation will continue to rise. However, letting the market operate freely and letting the prices rise as they should will only help Pakistan. Much to my delight and astonishment, Imran Khan is not worried about reelection, if he were, he would artificially hold the rupee up by extinguishing Pakistan's foreign exchange reserves of a mere 7 billion dollars and through aid & grants from abroad. However, he realizes that if he were to do that, Pakistan would cease to exist. Our Sovereignty, if not for the current tough economic policies, would be completely forsaken and institutions such as the WB, IMF, UN and countries like USA, China & the Arabs would dictate every single step we take. Therefore, it is extremely important that we support the Govt. and weather this storm.

Pakistan needs to survive right now, if we try for more, Pakistan will certainly lose everything.

its not about the economic factor.

As i mentioned in the OP, the rising price of petrol doesnt matter, economics and international trade is playing out.

Problem is the economic factors were not considered in the past, election campaignes were done as if Nawaz Shariff was controling the price of petrol and Imran was bringing the price down by his dharna.

Anyways, basic economics does dictate that higher taxes etc helps you in the long run. Short run will be bad.

 

[ExpressPacer]

Anyways, basic economics does dictate that higher taxes etc helps you in the long run. Short run will be bad.

And in that merely, you have portrayed your reason for languishing Imran Khan and his PTI government. It is a "political" difference that you render, which I very much respect, knowing how the Pakistani society is fearful of change. From what I understand, you are agitated that Imran Khan had promised many things in his election campaigns and now that he has been elected to office, those promises are not being fulfilled.

Well, my friend, as a student of both Economics and Politics, I can tell you that no politician in the world plans on immediately meeting his promises made at the time of election campaign. Pakistan's population largely consists of an uneducated, ill-informed lower & lower-middle class who's emotions he was able to target. Now, in theory, it sounds immoral but trust you me, the situation of the country needed someone honest in power, irrespective of the means he uses to get there - I am glad he chose to make adventurous promises instead of dhandli.

 

[TOP SPINNER_01]

The incompetent selected lot must go.

 

[Asim_khan]

The incompetent selected lot must go.

Are we talking about Maryam and Bilawal, selected cos of their surname?

 

[Bhaag Viru Bhaag]

Somebody ask OP sahab what is the rate of petrol in India vs Pakistan. He will be shocked to know that Pakistanis pay less for the same amount of oil. We do not produce our own oil, if it goes up in the world market it goes up domestically. These days every kid on the block thinks he is an economist.

70 rs per litre in India. 76 rs if you want Speed or 2T mix.

 

[WebGuru]

70 rs per litre in India. 76 rs if you want Speed or 2T mix.

That's around 160 to 175 Rupees if we convert it to Pakistani rupees.

 

[DeadlyYorker]

That's around 160 to 175 Rupees if we convert it to Pakistani rupees.

Yes but india has heavy taxes on petrol n diesel for a decade now and every indian know price is because of too much tax,even GOI has accepted they cant reduce it due to it being big part of govt income

It isnt the case here with pak govt

 

[Mamoon]

Fake PM wants to establish a Madinah state, and they used camels and horses for commute.

 

[Mamoon]

In international market, fuel prices have decreased but our Khalifa doesn’t care about that.

 

[DeadlyYorker]

That's around 160 to 175 Rupees if we convert it to Pakistani rupees.

Yes here is what i think it is not sure about my details on pakistan but i will try write everything in PKR just so its easy for all here to conpare,

-
-i think pak has petrol under gst with around 17-19% tax ,which
brings fuel price to 117/L where tax is around 22-23 pkr/L

-In india specially delhi petrol price is around 169 pkr/L
Where tax paid per litre is around 84 PKR and almost makes it
more tham 50% tax paid per litre.in some states tax amounts
are even higher specially in mumbai,there used to be a really
Gulf in prices in pak and india and there still is but its slowly
Starting to shrink as PKR is falling fastee than ever

- dont know how its going to get any better if people dont pay
More taxes,pak need to follow india on how crude oil should be
taxed if majority doesnt pay enough taxes.

 

[DeadlyYorker]

In international market, fuel prices have decreased but our Khalifa doesn’t care about that.

Nor govt in india cares about falling prices of crude ,there is a price hike on daily basis.i think in all developing countries its the same.

 

[Mueez]

In international market, fuel prices have decreased but our Khalifa doesn’t care about that.

Do not know much about other countries in the world.

However in the Netherlands the price has definitely gone up.

With that being said, here people can afford it but in Pakistan it is a big no.

This is not what the electorate of PTI or what Pakistani “awaam” wants.

 

[Asim_khan]

Surely the seizing of oil tankers near Iran and Gibraltar have led to higher prices? Yet no mention of this by the imoartial, fair and balanced Dawn [MENTION=135038]Major[/MENTION] [MENTION=131701]Mamoon[/MENTION]

 

[LongHorn]

Surely the seizing of oil tankers near Iran and Gibraltar have led to higher prices? Yet no mention of this by the imoartial, fair and balanced Dawn [MENTION=135038]Major[/MENTION] [MENTION=131701]Mamoon[/MENTION]

Oil prices spiked after the incidents and have fallen since then, prices over the last week are the lowest in the past 4/5 months

 

[Kianig89]

Would be very difficult for middle class to drive their cars to office time to shift may be a Mountain bike or CD70

 

[Pete Rose]

today in how exchange rates work and replacement cost....

 

[WebGuru]

Oil prices spiked after the incidents and have fallen since then, prices over the last week are the lowest in the past 4/5 months

But the order was surely placed a month or so ago? Isn't this how the purchasing of Oil is done and thn it takes weeks or a month to arrive?

 

[Syed1]

In international market, fuel prices have decreased but our Khalifa doesn’t care about that.

Thank God PTI government do not have medical doctors making policy decisions on economic affairs.


Gasoline products are bought in bulk 3-4 months in advance. If it drops in price today and remains dropped by the time a fresh order is made then the decrease will be reflected in domestic prices.



Should stick to what you know rather than poking your nose where your knowledge is kindergarden level at best.

 

[DeadlyYorker]

Thank God PTI government do not have medical doctors making policy decisions on economic affairs.


Gasoline products are bought in bulk 3-4 months in advance. If it drops in price today and remains dropped by the time a fresh order is made then the decrease will be reflected in domestic prices.



Should stick to what you know rather than poking your nose where your knowledge is kindergarden level at best.

Dont know about pakistan thats not how it works in india.

Here if there is even a penny is increased in barrel prices,petrol pumps hike thier prices accordingly,but rarely any dropping is seen in case of price cuts.

 

[WebGuru]

Dont know about pakistan thats not how it works in india.

Here if there is even a penny is increased in barrel prices,petrol pumps hike thier prices accordingly,but rarely any dropping is seen in case of price cuts.

In Pakistan, OGRA (Oil and Gas Regulatory Authority) send a price increase/decrease summary to Govt at the end of every month and a new price is set for Petrol, Diesel etc starting from the first day of next month 12:01 AM and govt mostly approve it with slight changes in that summary.

 

[Last Monetarist]

https://tribune.com.pk/story/2317784/fuel-prices-likely-to-go-down-by-up-to-rs5-per-litre

Consumers may get some relief as the petroleum division has recommend a reduction in prices of fuel by up to Rs5 per litre, sources privy to the development told The Express Tribune on Monday.

The government had increased prices of petroleum products during the last several months. Now, the prices are likely to come down for the next fortnight effective from September 1 to 15.

The petroleum division sources said a summary in this regard has been sent to the Ministry of Energy.

Prices of petrol and high-speed diesel (HSD) have been recommended to reduce by Rs3.50 per litre and Rs5 per litre respectively, as per the official summary.

The price of light diesel oil (LDO) has been recommended to cut by Rs2 per litre and a nominal reduction of Rs1 has been suggested in Kerosene oil price.

The sources said the petroleum divison had prepared a summary of price reduction in accordance with the existing sales tax and petroleum levy.

Fuel prices could be further decreased by bringing down tax rates, they added.

The final decision in this regard will be taken by the Ministry of Finance after the prime minister’s approval and new prices will come into effect from September 1, the sources said.

On August 1, the government jacked up the price of petrol by Rs1.71 per litre effective following fluctuation in the global oil prices.

The new price of petrol reached Rs119.80 per litre and no change was made in the price of HSD. HSD, which is majorly used by the agriculture and transport sectors, is being sold at Rs116.53 per litre.

The price of LDO was also kept unchanged at Rs84.67 per litre. The commodity is primarily used by the industrial sector.

The price of kerosene oil was also increased by Re0.35 per litre to Rs87.49 per litre against Rs87.14 per litre.

 

[Last Monetarist]

https://www.dawn.com/news/1643727/govt-reduces-petrol-price-by-rs15-per-litre-from-sept-1

The government on Tuesday decided to decrease the prices of petrol and high-speed diesel (HSD) by Rs1.5 per litre from Sept 1 to "provide maximum relief" to people.

It also decreased the price of kerosene by Rs1.5 and that of light diesel oil (LDO) by Rs1 per litre, respectively.

According to a notification issued by the Finance Division, the new price of petrol will be Rs118.3 per litre, HSD will be Rs115.03 per litre, kerosene will be Rs86.80 per litre and LDO will be Rs84.77 per litre.

The rates have been reduced despite fluctuations in the prices of petroleum products in the international market and anticipated increase in the future, the government said.

"The government is firmly committed to ensure stability in prices of essential commodities and has sustained the price pressure in line with its commitment to the common man," it added.

It noted that the petroleum levy was kept at a minimum which was a "clear reflection that the government is fully cognisant" of the impact of higher petrol prices on basic commodities.

According to Petroleum Division sources, the Oil & Gas Regulatory Authority (Ogra) calculated Rs3.50 per litre reduction in the ex-depot price of petrol and about Rs5 per litre decrease in the ex-depot price of HSD.

Likewise, the ex-depot price of light diesel and kerosene oil was calculated to go down by Rs2 and Rs3 per unit, respectively.

The price cuts were worked out because of lower international oil prices even though the exchange rate had deteriorated over the past 15 days of August.

As of now, the government is charging 17 per cent general sales tax on HSD, followed by 10.54pc on petrol, 6.70pc on kerosene and 0.20pc on light diesel. The standard GST rate is 17pc, which means the government is foregoing significant revenue flow.

The government is also charging a negligible Rs2.05 per litre petroleum levy on HSD and 24 paisa per litre on light diesel and zero on petrol and kerosene. This means the government is also losing substantial revenue on a solely federal tax.

On August 15, the government had kept unchanged the price of petrol at Rs119.80 per litre and that of HSD at Rs116.53 per litre. On the other hand, it had increased the ex-depot price of kerosene by 81 paisa per litre to Rs88.30. Also, the ex-depot price of light diesel oil was increased by Rs1.10 per litre to Rs85.77.