ISLAMABAD: Owing to a significant fall in oil prices in the global oil market, the government is likely to decrease the prices of petroleum products by up to Rs35 per litre for the second half of July.
In this regard, a meeting with PM Shehbaz Sharif in the chair took place on Wednesday wherein he vowed to reduce oil prices transparently at par with the reduction in the international market. A summary in this regard will soon be sent to the Cabinet.
Sources informed Profit that the government is likely to approve a Rs 12 per litre decrease in the price of petrol and a Rs35 per litre cut in the price of high speed diesel (HSD).
“The federal cabinet is likely to take a final decision in favour of the inflation-hit public which is bearing the brunt of skyrocketing oil, gas and electricity prices,” sources said.
They added that the Cabinet may also approve a Rs25 per litre reduction in the price of kerosene oil and a Rs27 per litre reduction in the price of light diesel oil (LDO).
The sources said that above prices are based while keeping the current government’s taxes in view. The government has been collecting Rs10 per litre as petroleum levy (PL) through petrol and Rs5 per litre from HSD, kerosene, and LDO.
Profit further learnt that the ex-depot sale price of petrol from July 16 might be decreased from Rs248.74 per litre to Rs231.53 per litre, a cut in price by Rs17.31 per litre while ex-depot HSD sale price may go down from Rs276.54 per litre to Rs234.76 per litre, a decrease of Rs41.78 per litre.
Similarly, the ex-depot sale price of kerosene oil is also likely to witness a Rs30.38 per litre reduction with its price likely to stand at Rs199.88 per litre after witnessing a decline from Rs230.26 per litre.
It may be mentioned here that the coalition government led by the PML-N has enhanced the price of petroleum by 66 to 95 percent in its three month tenure. It has so far made per litre price hikes of Rs99 in petrol, Rs132 rupees in diesel, Rs111 in kerosene oil and Rs100 light diesel oil.
Earlier on Tuesday, Prime Minister Shehbaz Sharif had sought a summary from finance and petroleum ministries for the reduction of POL prices after global crude oil rates went down.
According to a report by Reuters, Global benchmark Brent crude tumbled $7 to below $100 a barrel on Tuesday on a strengthening dollar, demand-sapping Covid-19 curbs in top crude importer China, and rising fears of a global economic slowdown.
