ISLAMABAD: The federal government has announced to maintain petroleum prices of August for September.
In a statement, the Finance Division stated that the government has kept the petroleum prices of August for the month of September 2020.
The Oil and Gas Regulatory Authority (Ogra) proposed to raise the motor spirit (petrol) price by Rs7 per litre and High-Speed Diesel (HSD) by Rs8 per liter in a fortnightly review for September 1st, sources said.
Sources maintained that the regulator forwarded its proposals in this regard to the Petroleum Division to increase prices of kerosene oil and light diesel. The prices have been computed on the basis of present rate of petroleum levy at Rs30 per liter, which is currently less than Rs26 per litre on both petrol and diesel.
First time, the Ogra is determining price of petroleum products on a fortnightly basis and shift the Pakistan State Oil (PSO)'s price bench mark to Platts indexes with effect from September 1st, 2020.
Under the new guidelines of the federal government, the oil marketing companies (OMCs) and refineries are determining the ex-refinery prices of petrol and high-speed diesel (HSD) on Arab Golf Platts daily FOB average for the number of days in the pricing period as the base commodity price.
Premium above plats, freight and incidentals to be taken as average of the PSO's procurement for the pricing period, and added to the base commodity average price in a (above) as per existing practice.
Taxation and levies will be applicable rates.
Exchange rate to be used as provisionally available for the PSO but to be converted to actual upon retirement of LC (not later than 60 days from B/L date), any adjustment to be made as prior period adjustment as per present practice, already approved by the ECC vide its decision taken on April 9, 2020.
Copyright Business Recorder, 2020
Comments
Comments are closed for this article.