Oil prices raised up to Rs5.13 per/litre

RECORDER REPORT

ISLAMABAD: The government on Saturday increased the prices of different petroleum products ranging between Rs 1.65 per litre and Rs 5.13 per litre, effective January 1.

According to a notification issued here late Saturday night the government has increased the prices of High Octane Blending Content (HOBC) by Rs 5.13 per litre and Motor Spirit (premium petrol) by Rs 1.65 per litre. However, the government has retained the prices of diesel and kerosene oil.

After the current increase in the petroleum prices, important petroleum products would be sold at following rates: HOBC at Rs 111.91 per litre, premium Rs 89.54 per litre, HDO Rs 99.82 per litre, LDO Rs 86.78 per litre and kerosene at Rs 89.42 per litre.

Last month, prices of major petroleum products were also increased.

Currently, different petroleum products are selling at following rates: HOBC at 106.72 per litre, premium Rs 87.14 per litre, High Speed Diesel (HDO) Rs 94.16 per litre, Light Speed Diesel (LDO) Rs 81.99 per litre and kerosene Oil at Rs 85.76 per litre.

Last month (November) as well as this month the Oil and Gas Regulatory Authority (OGRA) had recommended the government not to increase petrol and diesel prices but the Finance Ministry while rejecting the OGRA proposals increased the price.

According to sources in Ogra, keeping in view the prices of petroleum products in international market, it was recommended that local price of MS should be reduced by Rs 2.5 per litre, HDO Rs 0.10 per litre, kerosene by Rs 1.15 per litre and LDO by Rs 0.45 per litre.

Sources added that due to depreciation of the rupee against the dollar and an increase of Rs0.66 per litre inland freight equalisation margin, the Ministry of Finance approved increase in the POL prices.

COPYRIGHT BUSINESS RECORDER, 2011