Print Print 2023-08-13

Up to Rs24 hike in POL products’ prices likely

  • As international oil prices kept rising during the last 15 days, the government may raise rates by Rs14 per litre petrol and Rs24 per litre high speed diesel (HSD)
Published August 13, 2023

ISLAMABAD: As global commodity price rise, Pakistan may raise petroleum prices by Rs14 to Rs24 per litre by the next bi-monthly review (August 16-31).

As the international oil prices kept rising during the last 15 days, the government may raise rates by Rs14 per litre petrol and Rs24 per litre high speed diesel (HSD).

The government has already hiked petrol and HSD prices by nearly Rs20 with effect from August 1, 2023. The International Monetary Fund (IMF) loan conditions forced the government to pass on rising international commodity prices to local consumers.

FY23: POL products worth $1.182bn imported by Pakistan on deferred payment basis

Over the past two weeks, refined product prices have risen by $13 per barrel to $111 per barrel, and petrol prices have climbed by $7 per barrel to $97 per barrel.

The government is charging Rs 55 petroleum levy on petrol and Rs 50 per litre on HSD. Potential price rise may affect August inflation.

Copyright Business Recorder, 2023

Comments

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Usman Aug 13, 2023 12:25pm
Keep increasing .we need to reduce its usage.right now we are begging world wide and spending on diesel and petrol.
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Johnny Walker Aug 13, 2023 02:33pm
Mr. Musadick, whatever happened to cheap Russian oil which was supposed to bring down prices of refined products? You made many tall claims. Now Pakistan Refinery has refused to process any further Russian crude as it is producing large amounts of furnace oil and very little petrol, diesel and jet fuel. The cost of these refined products is much higher than the same being produced from Arab crude. This was predicted by many experts but you ignored their advice. What a shameful act of wasting precious FX.
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Black Label Aug 13, 2023 03:23pm
@Johnny Walker, the inventor of the idea to to blamed equally, who went to Russia to make the deal.
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Mohammad Aleem Khan Hoti Aug 13, 2023 04:56pm
The government has no other option to generate revenue.The entire economy is based on revenue obtained from gas,electricity and taxes.The simplest job to increase revenue and counter looses of the utilities are to escalate the price per unit.Both power and petroleum ministties failed to control theft and looses.The same is recovered from consumers.The govt may also other options to meet revenue targets like agri,mineral and eexploration of oil and gas.The govt needs to appoint high skilled people on authoritive position in ministries like power and petroleum div instead of Baboos to formulate and execute policies in the best interest of the country.
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Abdullah Aug 13, 2023 06:32pm
Whats wrong with it.why shoukd the poor subsidise the rich with there taxes.increase it.
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Ahsan Rauf Aug 13, 2023 07:06pm
since 75 years we haven't been able to upgrade our refineries and incentives our buisness men so that we have refineries which can break FURNACE oil to diesel and petrol as 30 to 40 % FO is generated per barrel and for russian oil it is 50 % . This furnace oil is selling in loss in international market .We only label our business men thief's. we give a lot of incentives to foreign buisness men yet they don't come .Give incentives to your business men and don't label them thief until you have othe practical economical solution
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anis imam Aug 13, 2023 07:11pm
Petrol is very costly item n so many other products on petrol price than why is free for government n other employees it is not justice for people majority is jobless now in high inflation how to survive poor jobless people at the end robbery n crimes promote.
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Sagar Baloch Aug 13, 2023 08:13pm
Good news,you can't reduce petrol levy because of IMF but you can increase it to comply with international community.say hello to RS 2000/ 10 kg of wheat bag.
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Ali Imran Zaidi Aug 13, 2023 08:33pm
Why all vehicle and petrol subsidies are not fully withdrawn from all officials. Stop all free electricity. Everything will be fine. Taxpayer is getting squeezed but there is no cut on luxuries of the ELITE.
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H.G Aug 13, 2023 09:35pm
All governments neither had the intent nor the power to tax the untaxed elite, because they are one. The poor will continue to pay the price of loot and theft of elite of this country. Why should the poor pay this 55 PDL? Same is the case with electricity. The honest people pay the price of those who dont pay bills, the corruption mismanagement of entire power sector. There is no justice in this country.
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gnay.aly Aug 14, 2023 12:35am
When an unemployed Pakistani youth buy petrol on making payment at PETROL PUMP THEN WHY WHY WHY FEDERAL, PROVINCIAL, CITY GOVT., CORPORATIONS, JUDICIARY, BUREAUCRACY, PARLIAMENTARIANS, MINISTERS, GOVERNORS, CHIEF MINISTERS & EMPLOYEES OF THE STATE IS GIVING FREE PETROL, ELECTRICITY, MOBILE PHONE USAGE , HOUSE RENT, MEDICAL , EVEN IN A YEAR LEAVES OF MINIMUM 70 DAYS?????
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AQS Aug 14, 2023 07:46am
Why can't we deal with Iran, it will help both countries to meet their needs.
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Naseer Hamid Aug 14, 2023 11:43am
Oil discovered.In Iran India and now Afghanistan. On shore and off. Same land same geology. Wonder what's wrong with us? Not allowed cheap oil & gas from Iran or continue CPEC our natural allia
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Floyd Aug 14, 2023 05:15pm
@AQS, cuz uncle Sam doesn't allow us
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Abc Aug 14, 2023 07:01pm
@Mohammad Aleem Khan Hoti, Retired laganay Ka shooq Hy humain
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Anwar Mahtab Zaidi Aug 14, 2023 11:22pm
IMF is saying to increase the revenues. Govt instead of making policies for revenue increase, they are adopting easy method to recover from only poor people of Pakistan.
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Awami Aug 15, 2023 07:00pm
Oil is traded in dollars. As Rupee slips price goes up is natural. Increasing price is natural and this will reduce use. One should stop blaming Govt, they are not responsible, the rise is worldwide.
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Tahir Alvi Aug 15, 2023 07:14pm
Basically, the Pakistan nation is not saving-oriented. Both Govt and people are busy spending on things which are not create any value or income in reverse. The biggest portion of our remittance is dumped into societies and plots that generate nothing as output and also no tax or export happens from it. Almost 80% of households now own at least one bike that runs on petrol. Pakistanis literally vanish their bicycle from the roads and use motorcycles for 1km travel. Why govt is paying the subsidy on it, is a million-dollar question. The other factor is free petrol to govt officials who sometimes used it for personal, and that is bought from people's tax. In order to progress, we must return to simplicity.
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Awami Aug 15, 2023 07:21pm
@Naseer Hamid, China can buy oil from Iran and after adding little nominal charge sell to Pakistan. As our largest export ( earning in dollars ) market is USA we need keep in mind their feelings also. Or existing unofficial smuggling from Iran via Baluchistan can be enhanced substantially. There are ways to bring oil from Iran ( that is anyway coming also all time) without angering USA also. Exceptional times need exceptional ways.
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Awami Aug 15, 2023 07:27pm
@Tahir Alvi, you have said correctly. Need more things to be made to export, just Chawal, Chamada and Chadder exporting will never lead to rise in export.
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