In a major development, the federal government has once again dropped petrol bomb on masses by increasing the prices of petroleum products by up to Rs12.03 per litre. Due to an increase in the prices of crude oil in the international market.
The new fuel prices will remain applicable till February 28, read an official notification.
According to the notification, petrol price has been increased by Rs12.03 per litre and high speed diesel price by Rs9.53 per litre. Similarly, the price of light speed diesel has risen by Rs9.43 per litre while kerosene has been increased by Rs10.08 per litre.
| Product | Existing price | New price | Increase/decrease |
| Petrol | Rs147.83 | Rs159.86 | +Rs12.03 |
| High speed diesel | Rs144.62 | Rs154.15 | +Rs9.53 |
| Kerosene oil | Rs116.48 | Rs126.56 | +Rs10.08 |
| Light diesel oil | Rs114.54 | Rs123.97 | +Rs9.43 |
Citing the reason for the increase in the petrol rates, which have for the first time in history moved past Rs150 per litre, the Finance Division said: “The prices of petroleum products are showing [a] drastic increase in the international market and presently are at the highest level since 2014.”
The statement said despite the increase in prices since the beginning of the year, Prime Minister Imran Khan had deferred the last review of petroleum products’ prices on January 31 to provide utmost “relief to the consumers”.
The government levied zero per cent sales tax and reduced petroleum levy rate against the budgeted targets, the Finance Division said.
As a result, the government is bearing “a revenue loss of around Rs35 billion (fortnightly) on account of budgeted to existing PL and ST rates”.
In the light of the losses, the prime minister has considered the recommendation to increase the prices of petroleum products, the statement said.