Tag: Diesel Price Increase

  • Petrol and diesel prices predicted to rise in February

    Petrol and diesel prices predicted to rise in February

    In response to the recent surge in global oil prices, the government is anticipated to raise petrol and diesel prices by Rs11 and Rs6 per litre, respectively, for the first half of February. 

    The significant 11 per cent and 25 per cent increases in the premium on petrol and diesel contribute to the upward adjustment. 

    Recent pricing estimates until January 26 reveal a 5 per cent rise in finished petroleum prices to $87.7 per barrel and a 1 per cent gain in finished diesel prices to $97.4 per barrel.

    Despite a slight appreciation of the local currency, which stands at a weighted average rate of around PKR 279.87 per USD since the last pricing decision, it remains insufficient to counterbalance the substantial international price hikes. 

    It’s crucial to note that there are three more sessions before the next pricing update, and final prices will be contingent on global market movements and exchange rate fluctuations.

    The government is set to unveil the revised prices at midnight on January 31, 2024, and these adjustments will be effective for the first half of February. 

    Notably, in the previous fortnight, the government reduced petrol prices by Rs8 per litre to Rs259.34 while keeping diesel prices steady at Rs276.21 per litre.

  • Govt expected to slash petrol prices for second half of January

    Govt expected to slash petrol prices for second half of January

    In a move aimed at providing relief to consumers, the government is expected to reduce petrol prices by more than Rs5 per litre for the second half of January.

    This decision comes as a response to the recent dip in global oil prices, ensuring that the benefits are passed on to the end-users.

    According to the latest pricing estimates until January 12, international petroleum prices have experienced a decline of 1 per cent over the last fortnight. This decrease in global prices may serve as a key factor in the government’s decision to revise the domestic petrol rates.

    On a different note, the price of High-Speed Diesel (HSD) is anticipated to see a slight uptick, with an expected increase of Rs2 per litre. This adjustment is attributed to a modest rise in international diesel prices during the relevant period.

    It’s crucial to highlight that one more session remains before the next pricing update, and the future trajectory of these prices will be contingent on global market movements and exchange rate fluctuations.

    Recalling the decisions from the previous fortnight, the government maintained petrol and diesel prices at Rs267.34 and Rs276.21 per litre, respectively.

    Additionally, there has been a marginal appreciation of the local currency against the USD since the previous fortnight’s pricing decision. The weighted average exchange rate now stands at approximately PKR 281.31 per USD. This development is expected to contribute to the adjustment of petrol prices in the domestic market.

    The official announcement of the revised prices is scheduled for midnight on January 15. The new prices will come into effect immediately and will be applicable for the rest of the month.