Govt increases petrol prices for the third consecutive time

June 15, 2022 (MLN): Finance Minister Miftah Ismail on Wednesday announced that the federal government has decided to raise the prices of petrol and diesel by a further Rs24.03  and Rs59.16 per litre respectively. This is the third consecutive hike in fuel prices since May 26.

After the latest round of hikes, the prices of petrol and diesel now stand at an all-time high of Rs233.89 per litre and Rs263.31 per litre respectively.

Similarly, after witnessing a hike of Rs29.16, the new price of Light Diesel Oil now stands at Rs207.47 per litre, while Kerosene oil will cost around Rs211.43 per litre after seeing a jump of Rs29.49 per litre.

"In the wake of rising petroleum product prices in the international market and exchange rate variation, maintaining the fuel prices at the subsidized rate is constantly increasing the fiscal deficit and current account gap besides putting pressure on the country's foreign exchange reserves", the government said in a press release issued today.

Therefore, the government has decided to consider the proposal of OGRA to increase the petroleum products prices. However, Petroleum Levy and Sales Tax have been kept at zero to provide relief to the end consumers, it added.

New prices of petroleum products are effective from tomorrow i.e., June 16, 2022.

Meanwhile, it is important to note that following the increase in petrol and diesel prices element of subsidy now stands at zero.

Since May 26, 2022, the new government has raised the petrol and diesel prices by a whopping Rs84 and Rs119 per litre.

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