Islamabad: The federal government of Pakistan has raised Petrol and High-speed Diesel (HSD) prices for the next fortnight, a major decision affecting the consumers and the economy. Subsequently, the government has decided to increase the cost of petrol by Rs 9 with immediate effect. CO2 emissions are 99 per litre, and the price reaches as high as Rs275. 6/ltr on the other hand HSD will have an increase of Rs, 6/ltr. From a price band of Rs 18 per litre, Essar has now set a of Rs283. undefined This increase was brought about by the current market changes in the global oil prices whereby both petrol and HSD increased by roughly $4. 4 and $2 per barrel, respectively, over the past two weeks.
New Petroleum Prices from 16th July, 2024. pic.twitter.com/epau2f0Wjq
— Ministry of Finance, Government of Pakistan (@Financegovpk) July 15, 2024
However, the government has since affirmed that there are no alterations to duties and taxes and that they remain as they are currently. These taxes include a substantial PDL of Rs. 60 per litre of both petrol and high-speed diesel (HSD). The rate of PDL has been increased to a maximum of Rs70 per litre in the Finance Bill to have Rs1. Rs. 28 trillion for the fiscal year, which is higher than the Rs. 960 billion that was collected in the prior year.
The decision comes at a time when import premiums have remained rather modest at $9. $2 per barrel for petrol and $6. 50 per barrel for HSD, up by rupees 17 paise to the US dollar during the same period. These economic factors have explained the government’s pricing policy about fuel costs about the prevailing global market forces in the economy.
Petrol is extensively used in private cars, and small and light vehicles and HSD on the other hand more utilized in public transport, affecting the prices of basic needs such as vegetables. These economic pressures are sought to be addressed by the government through various initiatives to ensure that sustainable revenues are generated to achieve the fiscal goals in the light of sustained economic woes.
Recent changes in the prices of petrol and HSD demonstrate how the government remains consistent in its fight to regulate energy prices, especially taking into consideration the fluctuations of world oil prices in the interest of both the economy and consumers in Pakistan.
