The possibility of an increase in petrol and diesel prices today is being considered due to fluctuations in global oil prices.
Following a hike of Rs13.55 per liter in petrol prices from February 1, authorities are now contemplating an increase in the price of high-speed diesel.
The government has decided to increase the price of high-speed diesel by Rs8 per liter, effective from February 16. Additionally, a moderate increase of 80 paise per liter may also be observed in petrol prices.
The increase in high-speed diesel prices is attributed to fluctuations in global oil prices.
If the government decides to increase the price of diesel, it could potentially rise from the current Rs278.96 per liter to Rs286.97 per liter, depending on premium and exchange rate adjustments.
High-speed diesel, extensively used in transportation and agriculture sectors, may adversely affect the public due to potential inflationary pressures resulting from price increases.
Pakistan State Oil (PSO) has imposed a premium of $9.43 per barrel on petrol, reduced from $9.47 in the past fifteen days, and a premium of $6.50 per barrel on High-Speed Diesel.
The estimated exchange rate adjustment for petrol is 50 paise, and Rs1.70 per liter for high-speed diesel.
There is a possibility that the government could maintain the price of furnace oil at Rs186.62 per liter due to a moderate increase of 62 paise per liter.
However, an increase of Rs2.50 per liter in the price of Light Diesel Oil (LDO) is possible, rising from the current price of Rs166.86 per liter to Rs169.62 per liter. It is primarily used in industry.
Furnace oil is used in remote areas like the northern regions of the country, where liquefied petroleum gas is not available for cooking purposes.
The calculation for the fifteen-day period starting from February is based on the current rates of petroleum levy and general sales tax.
The Oil and Gas Regulatory Authority has not yet implemented the proposed prices for fuel for the first half of February.
The authority has set petroleum product prices considering monthly tax targets and estimates of fuel consumption and supply costs for PSO fuel.
