ISLAMABAD – Under the weekly price review mechanism, the oil marketing companies (OMCs) on Saturday, in a summary sent to the ministry of petroleum and natural resources (MP&NR), asked the government to increase the petrol price by Rs3.04 per litre while Oil and Gas Regulatory Authority (Ogra) suggested maintaining the price at the current level by reducing the share of petroleum levy (PL) from Monday (tomorrow).
Though an upward trend in the price of crude oil by $2 per barrel in the international oil market has been recorded yet Ogra has advocated to maintain the per litre price of petrol at Rs 102.45 per litre by reducing the chunk of PL imposed on the product.
On the other hand, OMCs have suggested an increase in the prices of all petroleum products up to Rs 3.04 per litre except diesel. The companies in the said summary have suggested an increase in petrol price by Rs3.04/litre, kerosene oil Rs0.72/litre, which is used as fuel in remote areas, Kashmir and Gilgat Baltistan where liquefied petroleum gas (LPG) is not available, and light diesel oil (LDO) Rs0.48/litre, which is widely used for industrial purposes while a slash of Rs2.70/litre in price of high speed diesel (HSD), mainly used in transport vehicles and agriculture, has been suggested in the said summary.
Similarly, in line with the set mechanism under which CNG price should stand at 60 per cent of petrol price, per kilogram price of Compressed Natural Gas (CNG), widely used by middle class as fuel in their vehicles, would also witness a raise by Rs2.60/kilogram during the upcoming week, sources further disclosed on Saturday.
Under the new price mechanism for high-octane blended component (HOBC), the price of commodity will vary in various big cities of the country, however, it is likely that price of HOBC, produced only by Pak Arab Refinery Company located in Mehmoodkot, near Multan of south Punjab district, would witness a hike by Rs 2 to Rs2.50/litre.
Sources also said that since the government is continuously following a hide and seek policy while setting the prices of petroleum products, it is very much likely that the budget of salaried segment of the society will be destabilized because the petrol price is once again going up by Rs 3 per liter during the next week in the country.