Average cost of Platts with incidentals, duty hike HSD price

ISLAMABAD: The price of high-speed diesel (HSD) in Pakistan has increased in the latest price review, according to an announcement of the Finance Division on Tuesday.

The ex-refinery price of HSD has risen by Rs 4.58 per litre, reaching Rs 178.99 per litre.

This increase is attributed to a rise of Rs 4 per litre in the average cost of Platts with incidentals and duty, which accounts for the majority of the HSD price.

Additionally, the Pakistan State Oil (PSO) exchange rate adjustment of 58 paisa, a government-imposed levy, has also contributed to the price hike.

In contrast, the prices of petrol have remained relatively stable, increasing by only Rs 0.56 per litre to 252.66 per litre. This stability is likely due to lower input costs for petrol including a lower Rs 1.07 per litre average cost of Platts with incidentals and duty and a smaller PSO exchange rate adjustment of 92 paisa.

The Inland Freight Equalization Margin (IFEM) which can impact the final price of HSD has decreased by Rs 1.40 per litre from Rs 4.18 to Rs 2.78 per litre. However, this decrease has not been enough to offset the increase in other input costs. The IFEM on petrol has increased by Rs 2.55 from Rs 5 to Rs 7.55 per litre. The new prices are effective from January 1, 2025.

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