Tag: HSD

  • Petrol price reduced by Rs18.50 per liter, Diesel by Rs40.54 per liter

    Petrol price reduced by Rs18.50 per liter, Diesel by Rs40.54 per liter

    In an attempt to provide relief to the masses and share the advantages of falling crude prices on the global market, the price of petrol has been slashed by Rs18.50 per liter.

    The price reductions for petroleum products were announced by the Prime Minister, Shehbaz Sharif, in an address to the nation.

    Diesel will now cost Rs236 per liter, while gasoline will now be sold at Rs230.24 per liter. The new prices for petroleum products, according to the Prime Minister, will take effect from midnight.

    He went on to explain why, after taking office, his government had to raise the price of gasoline. He continued, “We had raised fuel prices to meet the demands made by the International Monetary Fund (IMF), which were approved by the previous administration.

    “The government has decided to pass on the relief to the people and has therefore reduced the price of petrol and diesel by Rs18.50 and Rs40.54 per liter, respectively,” he continued.

  • Govt may reduce petrol prices before midnight: Miftah Ismail

    Govt may reduce petrol prices before midnight: Miftah Ismail

    The government will lower petroleum prices before midnight, according to Finance Minister Miftah Ismail, who also announced that Prime Minister (PM) Shehbaz Sharif has received a report from the Oil and Gas Regulatory Authority (Ogra) recommending the drop.

    Speaking to the media, he emphasised that the International Monetary Fund (IMF) had no issues with the government’s decision.

    The announcement came the same day the IMF announced that it had reached a staff-level agreement with Pakistan for the conclusion of the combined seventh and eighth reviews of the Extended Fund Facility; the agreement is now awaiting the Executive Board’s approval.

    Additionally, he declared that the government will lower oil prices now rather than wait until July 15th (14 July). “PM Shehbaz wants to announce immediate relief to the people of Pakistan,” he said. “The public stood with the government during difficult times and bore the burden of inflation and now we want to provide relief.”

    In its conclusion, Ogra suggested lowering the cost of gasoline by Rs18 per liter and diesel by more than Rs20 per liter.

    The decision to lower petroleum product prices was made in response to recent sharp declines in the price of crude oil on the world market.

    The government approved a price increase for petroleum products on June 30. The increase brought the new ex-depot price of gasoline to Rs248.74 per liter (up Rs14.85), and diesel to Rs276.54 (after a hike of Rs13.23).

    On July 1, the new rates became effective. In the pricing structure, a petroleum levy of Rs10 had been added to the cost of gasoline, and Rs5 had been added to the cost of kerosene, high-speed diesel, and light diesel oil per liter.

  • PM Shehbaz to announce relief package for the poor

    PM Shehbaz to announce relief package for the poor

    Prime Minister (PM) Shehbaz Sharif will announce a relief package soon for those who are unable to afford fuel after a massive hike imposed by the government.

    This is undoubtedly an excellent news for the lower-income strata, as the recent petrol hike has weighed heavily on the inflation-stricken masses.

    Finance Minister Miftah Ismail announced last night a gigantic increase in the price of oil products in an attempt to reestablish the International Monetary Fund (IMF) plans to assist the country’s fragile economy.

    The decision was made in light of IMF guidelines, which required the removal of oil subsidies in order to restart Pakistan’s much-needed programme. On a talk show, Miftah Ismail slammed former Prime Minister Imran Khan for his contract with the IMF.

    “Imran Khan promised the IMF a Rs30 levy and a 17.5% sales tax on petroleum products,” he explained.

    The government is losing Rs120 billion per month as a result of Imran Khan’s unilateral decision to provide petrol subsidies, according to the finance minister.

    “Prime Minister Shehbaz Sharif had to make a difficult choice. However, he will announce a relief package for those who cannot afford high fuel prices in his address to the nation today,” Ismail added.

    According to Miftah, the government has already stated that the IMF programme will not begin unless petroleum subsidies are eliminated.

    Miftah Ismail voiced concerns about losing political capital as a result of the current decision to raise fuel prices, saying, “honestly telling you, we have admitted that by deciding on hiking fuel prices, we will suffer politically, but this is our country, and we will sacrifice to fix its issues”.

    Ismail acknowledged that the current increase in gasoline prices will shift the burden to the masses and increase inflation.

    Miftah dismissed the possibility of a default, saying, “I’m guaranteeing two things: the IMF programme will be restored, and Pakistan will not go bankrupt”.

  • OCAC warns of petrol supply shortages due to roadblocks

    OCAC warns of petrol supply shortages due to roadblocks

    Oil Companies Advisory Council (OCAC) said that oil marketing companies are supplying fuel to retailers but the deliveries are being slowed owing to road blockages in Punjab’s major cities, which could affect deliveries to filling stations.

    It warned provincial authorities in Punjab that the road blockades have severed connectivity between major cities and neighboring areas, affecting fuel supplies inside the province.

    The Oil Companies Advisory Council affirmed that there are sufficient stockpiles of gasoline products throughout the country, including depots in Punjab.

    It also highlighted fears about the current scenario of roadblocks and the rumoured assumption of minimal stocks spreading on numerous platforms and asked the public to refrain from panic buying. Despite the roadblocks, there are enough stockpiles of petrol and high-speed diesel (HSD) in Punjab, and OMCs are constantly working to restock retail outlets on time.

    OCAC expressed its concerns to the Chief Secretary of Punjab, requesting the local administration’s assistance in ensuring the safe and secure transit of tankers from different depots to different petrol outlets across the province till the scenario stabilizes.

  • PM Shehbaz rejects OGRA’s proposal, petrol price to remain unchanged till April 30

    PM Shehbaz rejects OGRA’s proposal, petrol price to remain unchanged till April 30

    Pakistan’s new Prime Minister (PM) Shehbaz Sharif on Friday dismissed the proposal from the Oil and Gas Regulatory Authority (OGRA) to raise the price of petroleum products for the fortnight. The recent decision is aimed at providing relief to the public affected by inflation.

    It is worth noting that the present government’s choice to maintain the same prices will oblige it to provide another substantial subsidy till the end of April 2022.

    Earlier, OGRA suggested to the Finance Division that the price of petrol be increased by Rs21.50 and that of diesel be hiked by Rs51.30 in view of the current petroleum levy and general sales tax (GST).

    Read more: Massive hike of Rs83.5 for petrol, Rs119 for diesel proposed by OGRA

    The authority also proposed a hike of Rs83.50 per liter of petrol and Rs119.88 per liter of diesel considering the federal government’s recommended petroleum levy of Rs30 and 17 per cent GST, as per the official statement.

  • International oil prices declined by 4%, crashing below $100 per barrel

    International oil prices declined by 4%, crashing below $100 per barrel

    Brent crude slid below $100 for the first time since March 16 amid plans to release huge amounts of petroleum and oil products from strategic storage, and also China’s prolonged coronavirus closure.

    Crude oil was down $4.1, or 3.99 per cent, at $98.68 per barrel. The price of US West Texas Intermediate (WTI) crude fell $4.28 a barrel, or 4.28 per cent, to $94.07 per barrel.

    The International Energy Agency (IEA) recently announced that member countries will release 60 million barrels over the next six months, with the United States matching that amount as part of its 180-million-barrel release announced in March.

    The actions are meant to make up for a shortfall of Russian crude after Moscow was extensively sanctioned for what it claims was a “special military operation” in Ukraine.

    As per JP Morgan analysts, the release of Strategic Petroleum Reserve (SPR) volumes will amount to 1.3 million barrels per day (BPD) over the next six months, enough to cover a 1 million BPD shortfall in Russian oil supplies.

    The release of strategic government oil reserves is projected to relieve some market tightness in the coming months, reducing the likelihood of oil prices rising and re-enforcing near-term supply constraints.

    While this is the largest release since the IEA stockpile was established in 1980, market participants believe it will fail to affect the principles of the oil market and will just delay further increases in production from crucial suppliers.

  • PML-N’s Miftah Ismail fact-checked by PTI’s Hammad Azhar on load-shedding, Miftah acknowledges

    PML-N’s Miftah Ismail fact-checked by PTI’s Hammad Azhar on load-shedding, Miftah acknowledges

    Miftah Ismail, General Secretary of the Pakistan Muslim League-Nawaz (PML-N) in Sindh, recently took to Twitter, saying that Pakistan State Oil (PSO) has restricted fuel supplies to Independent Power Projects (IPPs), potentially resulting in significant load shedding in the coming week.

    He directly accused Prime Minister (PM) Imran Khan of the impending power outage, writing that it is the result of his incompetence, corruption, falsehoods, and “lust for power: that has gotten the country into such a mess.

    After an hour, Former Energy Minister, Hammad Azhar responded to Ismail’s tweet, calling it “Fake news” and claiming that he had checked with PSO and there had been no such supply cuts notified for IPPs.

    “My statement regarding IK’s corruption (Farah), incompetence (Buzdar), lying (Sh Rasheed) & hunger for power (Suri) is valid,” Ismail responded with a strange tweet to cover up his incorrect finding about PSO.

    It is worth noting that PSO serves a diverse range of customers, including Pakistan’s industrial sector, several power projects, aviation, and maritime sectors. On a daily basis, the company meets the POL needs of millions of clients.

    Apart from selling oil to Pakistan’s power utilities, such as K-Electric and Wapda, PSO is the primary supplier of furnace oil to all IPPs in the country, with a local market share of more than 80 per cent.

  • Petrol price likely to go up by Rs13 today, price at Rs160 per litre

    Petrol price likely to go up by Rs13 today, price at Rs160 per litre

    Petroleum prices are expected to increase across Pakistan from today (Tuesday) in the wake of Russia-Ukraine hostilities, reports Geo News.

    The price of petrol and fuel are likely to increase by Rs13 per litre and diesel by Rs18 per litre. The current price of petrol is Rs147.83 per litre, the price of High-Speed Diesel (HSD) stands at Rs144.62 and Light Diesel Oil (LDO) at Rs114.54 per litre.

    According to Reuters, oil prices jumped to a seven-year high on Monday when the United States (US) warned that Russia could soon invade Ukraine.

    Russia is one of the world’s largest oil and gas producers, and fear that Russia could invade Ukraine has driven the rally in oil closer to $100 per barrel, a level not seen since 2014.

    However, no official notification by the government has been released yet.

    Last month, Prime Minister (PM) Imran Khan rejected the summary of increasing prices of petroleum products in the public interest.