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Pakistan revises petrol prices by up to 20pc

ISLAMABAD — Pakistan yesterday revised upward prices of petroleum products by 10 to 20 per cent, a third increase in less than three months period.

According to an official notification, the price of petrol, high octane blended component, kerosene oil and light diesel oil have been increased by Rs6.88, Rs8.08, Rs8.29 and Rs4.46 respectively.

The price of petrol has touched new height after the price being revised from Rs68.81 per cent to Rs75.69. The price of HOBC, kerosene oil and diesel have been raised to Rs88.85, 49.73 and Rs49.05 from Rs80.77, Rs41.44 and Rs 44.59 respectively.

This was the fifth time in the last four months that the prices of petroleum products have been revised upward on the pretext of a global surge in oil prices. The price of petrol was Rs53.70 till the end of February and was raised to 58.70 on March 1 and Rs62.81 on March 16.

The poverty-stricken public reacted to the hike without the knowledge that these financial jolts would continue in the future. On April 18 the price of petrol was further increased to Rs65.81 and Rs68.81 on May 1.

A spokesman of Oil and Gas Regulatory Authority said the prices of petroleum products in the international market showed a record surge during the last several months which has compelled the government to pass on partial increase to the consumers. He said the government will continue to provide a subsidy of Rs3.23 on petrol, Rs33.57 per litre on kerosene oil and Rs29.04 per litre on light diesel oil after the price increase.

Taxes on Petroleum products are the largest source of indirect revenues in Pakistan. Petroleum product prices are higher than the import parity price because of these taxes.

Pakistan is heavily dependent on imported fuels and this dependence is expected to increase even further in future given the depleting gas resources.