Petrol price hits historic high in Pakistan after Rs12.03 hike

ISLAMABAD: Pakistan increased the prices of petrol, high-speed diesel, kerosene and light diesel oil on Tuesday, saying the new rates would be applicable from Wednesday, February 16.
The government has faced criticism for increasing fuel prices during the last few months amid rising inflation, though its top officials argue Pakistan still offers petroleum products at the cheapest rates in the region.
The country fixes these prices on a fortnightly basis to pass on the impact of fluctuating international prices to consumers.
“The prices of Petroleum Products are showing drastic increase in the international market and presently are at the highest since 2014,” a statement from the Finance Division said on Tuesday, adding that despite the unabated increase since the beginning of the year, Prime Minister Imran Khan had deferred the last review of petroleum prices on January 31, 2022.
“In order to provide utmost relief to the consumers, government levied zero percent Sales Tax and reduced the Petroleum Levy rate against the budget targets,” the statement said.
With an increase of Rs12.03, petrol will now be available for Rs159.86 and high-speed diesel’s at Rs154.15, a rise of Rs9.53. Kerosene will be sold for Rs126.56 per liter after an increase of Rs10.08 while light diesel oil will be available for Rs123.97 after a Rs9.43 increase in its previous rate.
The Finance Division said the government was bearing a revenue loss of around Rs35 billion (fortnightly) “on account of budgeted to existing PL [Petroleum Levy] and ST [Sales Tax] have been kept to the minimum.”