The government has raised the price of petroleum products once again by Rs. 6 for the month of April. This has been revealed by a notification issued by Finance Ministry.
The reason for this hike is currency devaluation and a minor increase in the international crude oil prices. According to the notification, the prices of petrol and high-speed diesel (HSD) have increased by Rs. 6 per liter while the price of kerosene oil and light diesel oil (LDO) has faced a hike of Rs. 3 per liter.
After the increase, the per liter petrol price has reached Rs. 98.89 while HSD’s price stands at Rs. 117.43. Furthermore, the new price of one-liter kerosene oil is Rs. 89.31 and that of LDO is Rs. 80.54.
The finance ministry says that the government has passed on only 50 percent of the burden of the suggested price hike, recommended by the Oil and Gas Regulatory Authority (OGRA).
Accounting for the import parity price of Pakistan State Oil (PSO) for the purchase in March, OGRA had proposed a price increase of about Rs. 11.17 per liter in HSD, Rs. 11.91 in kerosene oil, and Rs. 6.49 in LDO.
The petroleum prices have been increasing since the start of 2017, except for some reductions. In the last couple of weeks, the international benchmark Brent has also been increasing at a slow pace. The government has increased the tax rates as a preliminary step for the finalization of an International Monetary Fund program.
The electricity and gas rates are also going to increase over time, as announced by the government earlier.