ISLAMABAD: The government has increased the prices of gasoline and high-speed diesel (HSD) for the next two weeks despite a decline in the international market.
Experts had hoped for a decrease in the cost of petroleum products, so the move came as a surprise.
The price of diesel will increase by Rs3.85 per liter and petrol by Rs1.35, according to an official announcement on Thursday.
The ex-depot price of gasoline will rise to Rs248.38 per liter from Rs247.03 and the ex-depot price of diesel will rise to Rs255.14 per liter from Rs251.29.
The prices of fuels increase by Rs1.35 and Rs3.85, respectively. However, the prices of kerosene and light diesel have decreased by Rs2.61 and Rs1.48 per liter, respectively.
In the late-night announcement, the Service of Money said the oil controller, Ogra, had worked out the costs in view of the varieties in the global market.
However, sources claimed that the government had retained a portion of the October 15 rate increase in the hope that the subsequent quarter would be less expensive.
However, this led to inventory losses for the oil companies, which protested the government as well.
After that, international prices dropped, but there was still a lot of backlog, so the government had to raise prices for 15 days.
After October 15, the global average price of HSD and gasoline decreased by approximately $1.5 and $2.5 per barrel, respectively.
From approximately $77.5, the average cost of gasoline had decreased to approximately $76 per barrel. The cost of HSD likewise declined to about $84 per barrel from $86.5 in the last fortnight.
The import premiums for gasoline and HSD have remained relatively constant over the past two weeks, at $8.7 and $5 per barrel, respectively. The rate of exchange also held its own.
Both gasoline and HSD are currently subject to a tax of approximately Rs76 per liter from the government. However, all petroleum products are exempt from the general sales tax.
Additionally, the government is levying a petroleum development levy of Rs60 per liter on both products that typically affect the general public. It also imposes a customs duty of approximately Rs16 per liter on gasoline and HSD, regardless of whether they are produced locally or imported.
Additionally, oil dealers and their distributors receive approximately Rs17 per liter in distribution and sale margins.
Prices for LPG For the month of November, the Oil and Gas Regulatory Authority (Ogra) has increased the price of liquid petroleum gas (LPG) by approximately Rs2.88 per kilogram.
In November, a 11.8kg cylinder will cost Rs2,999.47, up from Rs2,965.38 in September.
Ogra said that the Saudi Aramco-CP exchange rate and the LPG producer price were linked.
The Saudi Aramco-CP has increased by 1.6 percentage points, and the average dollar exchange rate has slightly decreased by 0.19 percentage points. This has led to an increase in the price of LPG for consumers of Rs34.09 per 11.8 kilograms. It stated that the increase per kg is Rs2.88.
