Oil and Gas Regulatory Authority (Ogra) has recommended the federal government to reduce prices of petroleum products for February 2019. In a summary sent to the Ministry of Finance for final decision, the Ogra recommended to reduce the price of motor spirit (MS) by Re 0.50 per litre, high speed diesel (HSD) by Rs 4.00 per litre and kerosene oil (KO) by Rs 2.00 per litre. However, the regulator asked the government to increase the price of light diesel oil (LDO) by Re 1.00 per litre.
The Ogra has recommended a reduction in petroleum prices by up to 3.5 percent in line with the declining global oil prices. The summary by Ogra has been forwarded to the Petroleum Division and will be further vetted by the Finance Ministry, but the final decision will be taken by the Prime Minister. The Ogra suggested that prices of MS be reduced by Re 0.50 per litre to Rs 90.47 per litre and kerosene oil by Rs 2.00 per litre to Rs 82.98 per litre. The regulatory body recommended an increase in LDO by Re 1.00 to Rs 76.28 per litre for February 2019.
Meanwhile, for high speed diesel, which is used in trucks and buses, etc, a decrease of Rs 4.00 per litre (3.5 percent) has been recommended, which would take the rate to Rs 102.68 from existing Rs 106.68 per litre. The recommendations of the regulator are based on the drop in crude oil prices and petroleum fuels in the international markets.
The government had earlier announced a cut in price of petrol for the month of January 2019 by Rs 4.86 per litre while that of HSD by Rs 4.26 per litre. The price of kerosene oil was reduced by Re 0.52 and that of light diesel oil by Rs 2.16 per litre.