Petrol Price Crosses Rs200 Per Litre
Gasoline prices are expected to surpass Rs 200 per liter for the first time in history as the new government could shift the burden of the PTI government’s poor decisions onto the public, Some famous News media reported, citing sources.
In the second half of the current month, starting April 16, the newly formed government will be asked to increase the price of petroleum products or increase subsidies to maintain the current price.
On February 28, former Prime Minister Imran Khan announced a Rs 10 per liter cut in petrol and diesel prices and a price freeze until the 2022-23 budget is announced.
According to the sources, if the coalition government decides to raise the price, the cost of petrol per liter will increase by Rs 83.50 if it decides to increase taxes and GST.
It’s worth noting that the new government would be in dire straits and could choose not to raise prices to gain public support. However, if the current government decides to leave prices unchanged, it will be forced to pay another large subsidy amount from April 16th to April 30th.
According to the sources, the Oil and Gas Regulatory Agency (OGRA) had submitted a proposal to the Oil Department, which includes work on oil royalties and general sales tax (GST).
The sources said the proposal has been submitted for an increase of Rs 83.50 per liter for petrol and Rs 119 per liter for diesel, which includes a tax of Rs 30 and a GST of 17%.
However, given the existing tax and levies, the Treasury Department authorities have proposed increasing the price of petrol by Rs 21.52 per liter and Rs 51.30 per liter for diesel.
Also Read: Pakistan Increases Petroleum Prices To 5.92 Rupees Per Liter
Increases of Rs 35.5 per liter for kerosene and Rs 38.89 per liter for light diesel over the current rate have been proposed. With higher taxes and GST, an increase of Rs 77.56 per liter for kerosene oil and Rs 77.31 per liter for light diesel has been proposed.
However, the sources mentioned that the Finance Department will make a final decision on the matter after consulting Prime Minister Shehbaz Sharif.
It is worth noting that the price of petrol in Pakistan is currently 149.86 rupees while diesel is available for 144.15 rupees excluding tax and GST. Sources have mentioned that the work was carried out excluding 17% GST and Rs 30 taxes.
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