Firdous Ashiq Awan says govt to pass on benefits of reduction in oil prices to consumers
The Oil and Gas Regulatory Authority (Ogra) has recommended the government to slash for the month of September prices of all petroleum products by up to 5.8 per cent in line with fluctuation of global oil prices.
Ogra has proposed the government to reduce the prices of petrol by Rs4.59 per litre (3.9%) to Rs113.24 per litre from existing Rs117.83 per litre. Petrol is an alternate to the compressed natural gas (CNG).
The consumption of petrol has increased in Punjab where all CNG retail outlets are using imported liquefied natural gas (LNG). Reduction in its price will have a positive impact on common people as almost half (45%) of all the petrol is consumed by motorcycles.
Price of high speed diesel (HSD) has been recommended to be cut by Rs7.67 per litre or (5.8%) to Rs124.80 per litre. The existing price of the HSD is Rs132.47 per litre. The HSD is widely used in transport and agriculture sectors. Reduction in its price will have direct inflationary impact on masses.
The regulator has recommended reducing price of kerosene oil by Rs4.27 per litre (4.1%) to Rs99.57 per litre. Its existing price is Rs103.84 per litre. Kerosene oil is used to burn stoves in remote areas like northern parts of Pakistan where liquefied petroleum gas (LPG) is not available.
Ogra has suggested a decrease of Rs5.63 per litre (5.8 %) in price of light diesel oil (LDO).In case the proposed reduction is approved; the LDO’s new price will be Rs91.89 per litre against existing price of Rs97.52 per litre. The LDO is used as fuel in industry.