A petrol price hike of Rs13 per litre is likely in Pakistan, while high-speed diesel may rise by Rs14 per litre after international oil prices increased, official sources said.
Prime Minister Shehbaz Sharif is expected to give final approval for the revised petroleum prices. The Petroleum Division will formally announce the new rates tonight after approval.
The expected increase follows the federal government’s July 4 notification that cut petrol and high-speed diesel prices by Rs1.97 per litre each.
After that reduction, petrol was priced at Rs297.53 per litre. High-speed diesel was fixed at Rs309.50 per litre, according to the notification.
The government had also raised the carbon tax on petrol and diesel from Rs2.50 to Rs5 per litre. The notification said the increase was offset by a reduction in the petroleum levy.
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The carbon tax also applies to high-octane fuel and furnace oil at Rs5 per litre. The earlier notification said its real impact would appear in the next petroleum price review.
The federal government has also created a Petroleum Prices Stabilisation Fund to manage petroleum price fluctuations. The Ministry of Finance issued a notification after federal cabinet approval on June 5.
Under the notification, proceeds received under the fund will be deposited in the Public Account of the Federation under the “Special Deposit Fund” head.