Following the Oil and Gas Regulatory Authority’s (OGRA) guidance, the caretaker federal government has immediately increased petrol and diesel prices.
A recent notification revealed petrol prices have escalated by Rs2.73, reaching Rs275.62 per litre. Diesel prices also increased by Rs8.37, settling at Rs287.33 per litre. The finance ministry confirmed these adjustments align with OGRA’s recommendations.
Petrol, widely used in motorbikes and cars, and diesel, crucial for transport and agriculture, are directly impacted. The diesel price hike is particularly significant, as it may induce inflation, especially with current CNG sector challenges due to gas load-shedding.
In Punjab, the CNG sector relies solely on imported gas, facing load-shedding across provinces. As Pakistan imports petroleum, the import premium affects local prices. The petrol import premium is $9.47 per barrel, with diesel’s premium rising from $5.30 to $6.50 per barrel.
Previously, petrol prices increased by Rs13.55 on February 1. The same day, the cabinet raised gas prices for residential and fertiliser sectors, aiming to generate an additional Rs242 billion in revenue, adhering to IMF requirements for price hikes by February 15. The new rates are effective from February 1, with revised bills reflecting these changes.
