The government on Thursday reduced the prices of petrol and high-speed diesel (HSD) by Rs3.19 and Rs1.50 per litre, respectively.
Following the revision, petrol will retail at Rs329.82 per litre, while HSD will cost Rs382.36 per litre. The government continues to levy Rs110 per litre in taxes and duties on petrol and Rs96 per litre on HSD.
The Petroleum Division’s notification said the new prices would be applicable for August 7 (Friday).
The diesel price has come down from a peak of Rs520.35 recorded on April 3. Its price had started rising from Rs281 per litre after the US-Iran war broke out on February 28.
The petrol price reached high as Rs458.41 on April 3 after starting to rise from Rs266 in the first week of March.
Previously Petroleum Minister Ali Pervaiz Malik said that fuel prices would now be set every day because of changes in market prices after fighting between Iran and the US started again.
The government had been changing fuel prices every week since March. At the time it was taking steps to save fuel because of possible problems with oil supplies because of the fighting, in the Middle East. In April the federal government also said it would offer help with fuel.
The petroleum minister said that the cabinet and the prime minister had agreed to give the Oil and Gas Regulatory Authority (Ogra) the job of setting fuel prices every day based on what’s happening in the international market.
The All Pakistan Dealers Association said they did not agree with the pricing plan and said they would think about what to do next.
Petrol is mainly used in transport, small vehicles, rickshaws and two-wheelers and changes in its price affect the middle and lower-middle classes.
Similarly changes in diesel prices also impact the public at large as it is mainly used in the heavy transport sector, power plants and large generators.
Petrol and high-speed diesel (HSD) are the revenue earners with monthly sales of about 700,000 to 800,000 tonnes compared to just 10,000 tonnes of monthly demand, for kerosene.
