Petroleum product prices in Pakistan are expected to decline significantly today following a sharp drop in global crude oil prices.
According to reports, international crude oil prices fell by as much as 5% on Monday. The Oil and Gas Regulatory Authority (OGRA) is expected to determine new domestic petroleum prices today in line with the decline in the global market.
The expected reduction comes after petroleum prices recorded a steep increase over the past week, with petrol becoming Rs24 per litre more expensive and high-speed diesel rising by more than Rs60 per litre. The government had attributed the increases to higher international crude oil prices and rising import costs.
Meanwhile, oil marketing companies have expressed concerns over a proposed mechanism to revise petroleum prices on a daily basis. They warned that frequent price changes could disrupt business planning, inventory management, and supply chain operations.
The companies have urged the government to consult all stakeholders before introducing any changes to the existing petroleum pricing mechanism.
Earlier, Oil & Gas Regulatory Authority (OGRA) announced new prices for petroleum products, increasing the rates of both petrol and high-speed diesel.
According to the notification, the price of petrol has been increased by Rs4. 40 per litre. The price of high-speed diesel has become Rs3.62 per litre more expensive.
According to the notification, the new price of petrol has been fixed at Rs 331.52 per litre. Similarly, the new price of diesel has been fixed at Rs 378.66 per litre. It has been stated that the new prices of petrol and diesel will be for July 24.
Meanwhile, after successful talks with the government on Wednesday, the Petrol Pump Owners Association and the Petroleum Dealers Association announced that they have postponed their strike.
Petroleum Minister Ali Pervaiz Malik thanked the All Pakistan Petrol Pump Owners Association and other dealers’ associations for their cooperation.
He said the regional situation since February 28 has been a cause of concern. He added that Prime Minister Shehbaz Sharif is aware of the problems faced by the public and said tensions in the region remain high.
The minister said the government has already provided subsidies worth hundreds of billions of rupees. He added that a targeted subsidy system has been introduced and thanked oil refineries and petroleum organisations for their support.
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