Petrol Prices Reduced; Diesel, KSO, and LDO Increased
In a rather strange incident, the finance division has decided to reduce the prices of petrol while it was expected that it would increase by Rs. 20-30. However, the prices of other petroleum products have increased but the increase is also small rather than the huge ones witnessed in the past couple of months.
Here’s a list of prices of all petroleum products.
Officials of the finance division claim that a reduction across all petroleum products was expected as prices in the international market fell. However, with the falling value of the rupee, higher PDL, and increase in dealer commission, the government couldn’t reduce prices accordingly.
However, consumers are relieved to know that the prices haven’t increased further. This way the government can ensure that they are following IMF’s conditions for the disbursement of $1.18bn. This includes the increase in Petroleum Levy, which has now been bumped up to Rs 10 per liter. Nonetheless, the general sales tax on petroleum products has still been kept at zero.
Moreover, Petroleum dealer’s commission has been hiked by 43pc for petrol and 70pc for HSD. These now prices have taken effect from 1st August and will remain the same for the first half of the month.
Lastly, the Economic Coordination Committee (ECC) has cleared PSO’s outstanding payment of Rs. 30 billion that it owed to international sellers. This will prevent the state’s oil agency from defaulting and continue its functions on a normal basis.