ISLAMABAD: Due to a small increase in the currency rate and a slight change in international pricing, the prices of major petroleum products are predicted to stay largely stable for the next two weeks ending December 15.
According to knowledgeable sources, during the past two weeks, the average price of gasoline and high-speed diesel (HSD) has marginally increased on the global market. The import premium for diesel and gasoline did not change. The rupee saw a small increase in the currency rate.
As a result, even though international prices for gasoline, HSD, and kerosene somewhat decreased over the last two days of the month, the most recent figures as of November 28 showed an increase of almost Rs3 per liter.
The price discrepancy was so close, according to an Ogra official, that it might be modified within the inland freight equalization margin (IFEM), which is a system designed to provide consistent prices throughout the nation. “The price increase is anticipated to be less than Rs3 per litre in any event,” he stated.
The current price of HSD is Rs255.14 per litre, while the ex-depot price of petrol is Rs248.38. Although the prices of gasoline and HSD rose by Rs3.85 and Rs1.35 per litre, respectively, on October 31, the government maintained the prices of all petroleum products at the same level for the current two weeks on November 15.
Petrol directly affects middle- and lower-middle-class budgets and is primarily utilized in private transportation, small cars, rickshaws, and two-wheelers.
However, HSD powers the majority of the transportation industry. Since it is mostly utilized in heavy-duty vehicles, railroads, and agricultural engines such as trucks, buses, tractors, tube-wells, and threshers, its price is regarded as inflationary. In particular, it raises the cost of vegetables and other consumables.
Currently, the government taxes gasoline and HSD at a rate of roughly Rs76 per litre. The government imposes a petrol development levy (PDL) of Rs60 per litre on both petrol and HSD, which typically affects the people, even though general sales tax is nil on all petroleum products.
Regardless matter whether they are imported or produced locally, the government also levies a customs fee of around Rs16 per liter on gasoline and HSD. Additionally, oil corporations and their dealers receive distribution and sale margins of around Rs17 per litre.
However, it charges Rs50 per liter for 95RON fuel, light diesel, and high octane blending components, which are utilized by the wealthy in high-end imported cars.
