The new price of petrol is Rs 111.60 per litre after decreasing from Rs 116.60 per litre. The price of HSD has also been reduced to Rs 122.26 per lire from Rs 127.26 per lire. The price of SKO has been reduced to Rs 92.45 per litre from Rs 99.45 per litre. The price of LDO has been slashed from Rs 84.51 per litre to Rs 77.51 per litre. According to the Ministry of Finance, 4.2 percent decrease has been effected in petrol price, 3.9 percent in HSD, 7 percent in SKO and 8.2 percent in LDO prices. The International Brent price fell from $60 a barrel in January 2020 to $51 a barrel Saturday, down 18.33 percent.
However, the Ministry of Finance/Oil and Gas Regulatory Authority (Ogra) did not release the calculation of the Ogra officially regarding POL prices for March 2020. Sources said the Ogra had proposed reduction in HSD and petrol prices by Rs 7.23 and Rs 5.79 per litre, respectively. Some media reports suggested that the Ogra had recommended a reduction in price of petrol and HSD by Rs 15 per litre.
Despite around 13 percent decline in consumption, the federal government collected about 18 percent higher taxes on oil and gas products during first quarter (July-September) of this fiscal year, mainly because of higher rates. The revenue collection from oil and gas sector in the first quarter amounted to about Rs 186 billion, compared to about Rs 158 billion in the same period last year. The government is collecting standard 17 percent GST on all petroleum products. For March the rate of GST remains unchanged.