Decision to Increase Fuel Prices Challenged in Lahore High Court

The recent increase in petroleum prices has been challenged in the Lahore High Court through an application attached to an already pending petition on the same subject.

According to details, a petition challenging the recent increase in petroleum prices has been filed in the Lahore High Court (LHC) on Monday.

Lawyer Azhar Siddique has filed the application, submitting that petroleum products’ prices are revised every month by the Ministry of Finance and Oil & Gas Regularity Authority (Ogra). He said the Federal Board of Revenue (FBR) issued an SRO on Dec 31, 2017 “in exercise of powers conferred by clause (b) of subsection (2) and sub-section (6) of section 3 of the Sales Tax Act, 1990”. He pleaded that the Supreme Court had already disapproved taxation by the executive in cases by Engineer Iqbal Zafar Jhagra and Senator Rukhsana Zuberi.

The counsel said that the federal government increased the prices of petroleum products illegally and against the constitution, in view of Article 3 read with provisions of Sales Tax Act, 1990. He contended that the government cannot levy taxes more than 17 percent but it has been imposing exorbitant taxes illegally, increasing the price of high speed diesel by Rs 3.96 per litter, light speed diesel by Rs 6.25, petrol by Rs 4.60 and kerosene oil by Rs 6.79.


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The petitioner alleged that Ogra, in connivance with the FBR, Ministry of Finance and office of the prime minister, had been continuously exploiting public at large, as Article 3 of the Constitution does not allow any kind of exploitation, especially financial exploitation of citizens.

The petitioner alleged that the PML-N government had been hoodwinking the nation and not stating facts about decrease in the petroleum prices in the international market. He asked the court to declare null and void levy of sales tax on petroleum products.