Fuel prices see major cut on global decline
ISLAMABAD: Thanks to a significant fall in the international market, the government on Tuesday reduced the prices of all petroleum products by 2.8 per cent to 5.4pc with immediate effort for the next fortnight ending on May 31.
In a late-night announcement, the Ministry of Finance said the ex-depot price of petrol had been slashed by Rs15.39 per litre and that of high speed diesel (HSD) by Rs7.88 per litre. The ex-depot prices of kerosene and light diesel oil (LDO) also declined by Rs9.86 and Rs7.54 per litre, respectively.
The ministry said the prices of petroleum products had seen a downward trend in the international market during the last fortnight. Therefore, it decided to accordingly revise the consumer prices of petroleum products.
Petrol cost down by Rs15.39, diesel rate decreased by Rs7.88
The ex-depot petrol price was thus cut to Rs273.10 per litre from Rs288.49, down by 5.3pc (Rs15.39). In the retail market, petrol would, however, be available well above Rs274 per litre. Likewise, the ex-depot price of HSD was reduced by Rs7.88 (2.8pc) to Rs274.08 per litre against Rs281.96.
Kerosene rate was brought down to Rs173.48 at the depot stage from Rs183.34 per litre, down by Rs9.86 or 5.4pc. Also, LDO price was cut by 4.5pc (Rs7.54) to Rs161.17 instead of its previous rate of Rs168.71.
Officials confirmed that prices of petrol and HSD had declined in the international market by about $8.7 and $4.3 per barrel, respectively, in the last fortnight.
The import premium on petrol has increased by more than 7pc in the last fortnight to $10.30 per barrel. Earlier, it had dropped in two phases to $9.60 per barrel from $13.50 per barrel in March. Premium for HSD imports remained unchanged at $6.50 per barrel.
Published in Dawn, May 16th, 2024