Opec crude oil prices go down to 108 dollars

KARACHI - Following the pattern of the international markets, the OPEC crude oil prices have dropped to 108 dollars per barrel.
In July, the OPEC crude oil prices hit the highest benchmark of 144.37 dollars per barrel (on July 4, 2008), but after touching this highest price tag, the OPEC crude oil prices starting tumbling gradually and settled below 110 dollars/barrel this week, showing a considerable decline of 32.73 dollars per barrel.
As Pakistan buys crude oil from the OPEC markets, the consumers are expecting relief in the domestic prices of the fuel oil. But official sources are of the opinion that the government was recovering the amount of billions of rupees subsidy provided to the consumers on oil prices in a year’s period before the general elections.
Official sources claimed that as long as the backlog of subsidy on oil prices is not recovered, the government could not slash the domestic oil prices.
They, however, said that the leaders of the coalition government could take a bold decision of providing relief to the consumers amid a substantial decline in the world oil prices, provided that the coalition partners are really serious in giving relief to their voters.
Worth noting is that the federal government is earning a net revenue of Rs 41 per liter in the shape Petroleum Development Levy, 16 per cent sales tax and inland freight equalisation margin from motor spirit  consumers in the country. But the government was least interested in reducing the domestic prices of petrol, diesel and kerosene.