Petroleum Prices Likely to See Dip
ISLAMABAD: Petroleum prices are anticipated to decrease by as much as Rs12 per litre starting Monday, for the next fortnight concluding December 31. This projected reduction is attributed to fluctuations in the international market.
Estimated Price Adjustments for Petroleum Products
Sources indicate that the ex-depot price of high-speed diesel (HSD) could see a drop of approximately Rs11.80 per litre, exceeding a 4% decrease. However, the price of petrol might remain unchanged, as the estimated reduction is less than a rupee per litre. Consumers can check the latest prices on SindhNews.com.
The government may introduce an additional cost of around Rs1.28 per litre to cover increased margins for oil companies and dealers, as approved by the Economic Coordination Committee (ECC). This adjustment aims to incorporate these approved higher margins.
Further Reductions for Kerosene and LDO
Ex-depot prices for kerosene and light diesel oil (LDO) are also expected to fall significantly. Kerosene could decrease by Rs11.50 per litre (a 6% reduction), and LDO by Rs10 per litre (also a 6% drop). Currently, these stand at Rs192.86 and Rs173.77 per litre, respectively.
The current ex-depot petrol price is Rs263.45 per litre. HSD, crucial for the transport sector, is priced at Rs279.65 and may be reduced to approximately Rs268 per litre from December 15.
Government Levies and Impact
Despite zero General Sales Tax (GST) on petroleum products, the government levies are substantial, including petrol levy and climate support levy. These amount to approximately Rs100 per litre on petrol and Rs96 per litre on diesel.
The reduction in fuel prices is expected to offer some relief, though transporters had previously increased fares and not fully reversed them after earlier price hikes. The impact on inflation, particularly for essential goods, remains to be seen.