The federal government has approved a partial cut in the prices of petrol and high-speed diesel (HSD) effective from June 1, 2017.
However, the prices of Light Diesel Oil (LDO) and kerosene oil have been kept unchanged for the month of June to provide relief to the consumers. And, the new prices have been announced after getting the nod of Prime Minister Nawaz Sharif with effect from June 1, 2017.
According to new prices of petroleum products, petrol is reduced by Rs 1.20 per litre and diesel by Rs 1.60 per litre. The price of diesel has come down to Rs 81.40 per litre from Rs 83 per litre, while petrol will be available at a new price of Rs 72.80 per litre against Rs 74 per litre. However, the prices of kerosene oil and LDO have been maintained at existing level of Rs 44 per litre.
Interestingly, according to Oil and Gas Regulatory Authority’s (OGRA) calculation, the prices of petrol and high-speed diesel were likely to be reduced by Rs2.43 per litre and Rs 3.31 per litre, respectively. However, the OGRA had calculated an increase in prices of LDO and Kerosene oil by Rs 9.28 and Rs 13.54 per litre, respectively, for the month of June 2017.
The OGRA has sent its recommendations regarding petroleum prices to the Ministry of Petroleum on Tuesday.
“In line with the prime minister’s directions it has been decided that the recommended increase in Kerosene and LDO will not be implemented,” said an official announcement regarding petroleum prices for June 2017.
The official announcement further stated that the recommended decrease in the prices of HSD and petrol will be (partially) passed on so that the negative financial impact of non-passage of price increase in the recent months can be offset to some extent. “Only partial increase has been passed on in the recent months since December 2016,” the announcement said.
