Tag: petrol

  • Weekly inflation in Pakistan soars 35% from last year’s rates

    Weekly inflation in Pakistan soars 35% from last year’s rates

    The Pakistan Bureau of Statistics (PBS) has reported an increase in the Sensitive Price Indicator (SPI) based inflation for the week ending on February 9th, 2023. The SPI recorded a rise of 0.17 per cent due to heightened prices for both food and non-food items.

    The year-on-year trend shows an increase of 34.83 per cent mainly due to an increase in the prices of onions (507.98 per cent), chicken (93.21 per cent), diesel (81.41 per cent), eggs (79.19 per cent), rice basmati broken (68.92 per cent), petrol (68.77 per cent), rice irri-6/9 (68.26 per cent), pulse moong (66.30 per cent), tea Lipton (63.92 per cent), bananas (61.88per cent), pulse gram (56.80 per cent), bread (50.66 per cent), LPG (50.41 per cent), pulse mash (50.25 per cent) and salt powdered (46.46 per cent), while a decrease is observed in the prices of tomatoes (57.76 per cent), chilies powdered (12.43 per cent) and electricity for q1 (12.31 per cent).

    The SPI for the week under review in the above-mentioned group was recorded at 228.17 points against 227.79 points registered in the previous week, according to the latest PBS data released on Friday.

    During the week, out of 51 items, prices of 29 (56.87 per cent) items increased, 05 (9.80 per cent) items decreased and 17 (33.33 per cent) items remained stable.

    The SPI for the consumption group up to Rs. 17,732 decreased by 0.06 per cent while it increase for Rs. 17,732-22,888, Rs. 22,889-29,517, Rs. 29,518-44,175 and above Rs. 44,175 consumption group increase by 0.02 per cent, 0.10 per cent, 0.14 per cent, and 0.22 per cent respectively.

    The items, which recorded an increase in their average prices during the week over the previous include potatoes (7.15 per cent), chicken (6.94 per cent),  bananas (6.53 per cent), vegetable ghee Dalda/Habib or other superior quality 1 kg pouch each (5.67 per cent), rice basmati broken (3.80 per cent), rice irri-6/9 (3.64 per cent), LPG (3.06 per cent), vegetable ghee Dalda/Habib 2.5 kg tin each (2.71 per cent), cooking oil Dalda or other similar brands (sn), and 5 liter tin each (2.60 per cent).

    Other items which recorded an increase are pulse mash (2.42 per cent), cigarettes capstan 20’s packet each (2.25 per cent), garlic (2.20 per cent), pulse moong (2.20 per cent), mustard oil (2.20 per cent), powdered milk Nido 390 gm polybag each (1.88 per cent), pulse gram (1.87 per cent), curd (1.83 per cent), tea prepared (1.77 per cent), milk fresh (1.52 per cent), matchbox (1.47 per cent), Sufi washing soap (1.39 per cent), bread plain (1.25 per cent), pulse masoor (1.23 per cent), energy saver Philips (0.79 per cent), salt powdered (0.65 per cent), firewood whole 40 kg (0.60 per cent), cooked daal (0.52 per cent), gur (0.31 per cent) and cooked beef (0.09 per cent).

    The commodities, which recorded a decrease in their average prices included onions (9.83 per cent), tomatoes (5.40 per cent), eggs (3.40 per cent), wheat flour bag 20 kg (2.71 per cent), and sugar (0.31 per cent).

  • Punjab police seizes 1.3 million litres of illegally hoarded petrol in a crackdown

    Punjab police seizes 1.3 million litres of illegally hoarded petrol in a crackdown

    Pursuant to the warning issued by Petroleum Minister Dr Musadik Malik, the Punjab police initiated a crackdown against individuals engaged in the illicit stockpiling of petrol and diesel in several areas of the province, including Sheikhupura, Patoki, and Daska.

    The Inspector General of Punjab issued directives for strict enforcement against such practices and instructed that decisive action be taken against those found to be responsible.

    In accordance with the directives, police teams conducted raids on multiple fuel stations in Sheikhupura and Patoki, resulting in the recovery of over 1.3 million litres of petrol that had been illegally stockpiled by mafias. The contraband was found stored in underground tanks in warehouses, and over a dozen containers filled with gasoline were also seized.

    The District Police Officer, Zahid Marwat, reported that the value of the recovered gasoline exceeds 300 million rupees. He further stated that appropriate legal action, including the filing of charges, will be taken against those found to be responsible for the hoarding of fuel.

    On Wednesday, Minister of State for Petroleum, Musadik Malik, dispelled all rumors of a shortage of petroleum products in the country.

    According to ARY News, during a press conference held in Islamabad, the state minister stated that Pakistan has an ample supply of both diesel and gasoline. He issued a warning to those engaged in hoarding, stating that the government will revoke licenses for those found to be artificially creating a shortage of these products.

    The minister also sought to dispel any notion that the government is responsible for increasing the prices of petroleum products.

  • Pakistan has enough petrol for 20 days: Musadik Malik refutes fuel shortage rumours

    Pakistan has enough petrol for 20 days: Musadik Malik refutes fuel shortage rumours

    On Tuesday, many petrol stations in the cities of Punjab were closed, causing inconvenience for commuters searching for fuel. However, State Minister for Petroleum, Musadik Malik, refuted reports of a nationwide fuel shortage.

    Despite a recent increase of Rs35 per litre in petrol and diesel prices, consumers are still facing difficulties due to limited supply.

    This situation mirrors a similar occurrence earlier this month prior to the price hike. On January 29, the government raised the prices of petrol and diesel by Rs35 per litre in response to the significant devaluation of the rupee against the dollar.

    The devaluation of the local currency against the dollar reached historic lows after the unofficial cap on the greenback was removed. Consumers in cities such as Faisalabad, Gujranwala, Sargodha, Shakargarh, Khushab, Mandi Bahauddin, and Gojra have encountered difficulties obtaining fuel. Petrol stations that remained operational have experienced long lines of vehicles, with reports of owners rationing the commodity by only providing limited amounts to customers.

    According to Geo, the State Minister for Petroleum has issued a warning against hoarding, as the fuel supply is already precarious. The minister stated that hoarders should be prepared for the possibility of having their licenses revoked.

    He said that there is a 20-day supply of petrol and a 25-day supply of diesel in the country. He urged the public to report any petrol stations that may be restricting supply for profit.

    Malik emphasized that there is no shortage of petrol in the country and confirmed that there will be no increase in the prices of petroleum products before February 15.

  • Petrol pumps to face strict consequences for creating artificial fuel shortage

    Petrol pumps to face strict consequences for creating artificial fuel shortage

    The inflation crisis in the country has been exacerbated by an artificial fuel shortage in Rawalpindi and Islamabad. Petrol and diesel supplies have been cut off at several pumps for two days.

    Petrol pump owners were only supplying petrol of Rs250 for motorcycles and Rs500 for a car. Dealers and pump owners are causing the shortage in order to make extra profit when fuel prices are announced to increase. During the day, 60 per cent of pumps have ceased supplying fuel, rising to 80 per cent at night until midnight. The dealers and owners are waiting for the government to announce a fuel price hike until midnight.

    In response to the fuel shortage, Rawalpindi’s Deputy Commissioner, Shoaib Ali, has ordered assistant commissioners to take immediate action against petrol pumps for not supplying fuel. Despite previous fines, notices, and applications for FIRs against Oil Marketing Companies, the government has been unable to control the artificial petrol crisis in the twin cities of Rawalpindi and Islamabad and across the country. There is speculation that the government will raise fuel prices by Rs20 to Rs30 per liter, leading to over 60 per cent of dealers and pump owners halting supply for two days to increase profits. Despite having tanks filled with petrol, they have stopped supply.

    Assistant Commissioner Syed Asad Abbas informed The News that the DC has ordered strict action against petrol pump owners for causing an artificial fuel shortage for two days. The AC has begun taking action, including sealing pumps and filing FIRs against them. Residents of Rawalpindi and Islamabad have reported a lack of fuel at several petrol pumps for two days, with long lines of motorists observed at Pakistan State Oil (PSO) pumps while other pumps were not providing fuel.

    Motorists were seen frantically searching for fuel as it was unavailable at many petrol pumps in areas such as Tipu Road, Murree Road, Jhanda Chichi, Kutcherry Chowk, Adiala Road, Pirwadhai, Mall Road Saddar, Rawal Road, Jhelum Road, and others. The long lines of vehicles at petrol pumps also caused traffic congestion throughout the city.

    Petrol pump managers, speaking to The News on the condition of anonymity, confirmed that fuel supply had been cut off, with some blaming unknown reasons for the shortage. They warned that if the supply did not resume, motorists could experience severe fuel shortages in the future. Taxi drivers, who rely on daily earnings to support their families, were particularly affected by the situation and expressed strong criticism of the government for failing to provide basic services to the public.

  • Weekly Inflation jumps 34.5% from last year due to petrol and food prices

    Weekly Inflation jumps 34.5% from last year due to petrol and food prices

    According to official statistics released on Friday, prices rose at their fastest pace in more than four months in the outgoing week, mostly due to rises in the cost of food and petroleum.

    Sensitive Price Indicator (SPI) data showed that as a result, short-term inflation increased from the previous week’s 32.6 per cent to 34.5 per cent on an annual basis for the week that ended on February 2, according to the Pakistan Bureau of Statistics (PBS).

    The week-on-week inflation figure also jumped to 2.8 per cent from 0.45 per cent a week ago. Of the 51 items tracked, prices of 32 items increased, one item decreased, whereas those of 18 items remained unchanged.

    The 34.5 per cent surge in prices is the highest increase since the week ending Sept 15, 2022, when the SPI inflation was recorded at 40.6 per cent.

    The items whose prices increased the most compared to the previous year were onions (up 556.36 per cent), chicken (90.9 per cent), eggs (81.7 per cent), diesel (81.4 per cent), petrol (68.8 per cent), tea (63.9 per cent), broken basmati rice (63.4 per cent), rice Irri-6/9 (62.4 per cent), pulse moong (61.1 per cent), bananas (57.4 per cent), gram pulse (53.2 per cent), bread (48.8 per cent), wheat flour (48.4 per cent), powdered salt (48.1 per cent), maash pulse (46.2 per cent), LPG (43.8 per cent), mustard oil (42.1 per cent), and washing soap (42 per cent).

    Prices of tomatoes (62 per cent), powdered chillies (15.3 per cent), electricity (12.3 per cent) and gur (0.27 per cent) dropped.

    On a week-on-week basis, the highest change was noted in the prices of garlic (17.1 per cent), gram pulse (7.1 per cent), bananas (4.8 per cent), chicken (4.4 per cent), mash pulse (3.9 per cent), masoor pulse (3.9 per cent), mustard oil (3.5 per cent), eggs (3.4 per cent), moong pulse (2.3 per cent), sugar (2.3 per cent), vegetable ghee (2.13 per cent), and broken basmati rice (2.12 per cent), LPG (17.6 per cent), petrol (16.2 per cent), and diesel (15.3 per cent).

    The SPI increased by 1.71 per cent for the lowest-income group (i.e. people earning below Rs17,732 per month) and by 3.3 per cent for the group with a monthly income of more than Rs44,175, according to the PBS.

  • Govt increases petrol, diesel prices by Rs35 per litre

    Govt increases petrol, diesel prices by Rs35 per litre

    Finance Minister Ishaq Dar on Sunday announced that the federal government has decided to hike the prices of petrol and diesel by Rs35 per litre, which will be applicable from 11 am today.

    Dar said that 11 per cent increase was witnessed in the prices of petrol products in the international market.

    The prices of kerosene oil and light diesel oil have been increased by Rs18 per litre.

    After the latest round of hikes, petrol is now priced at Rs249.80, diesel at Rs262.80, kerosene oil at Rs189.83 and light diesel at Rs187.

    The minister was of the view that prices of petroleum products were not increased in the past 4 months, adding that prices of diesel and kerosene oil also decreased during the period.

    The minister went on to say that the speculations had also led to an artificial shortage of petroleum products in the market. “On social media, it was reported that [fuel prices] were to be jacked up by Rs47-80 which unfortunately became an incentive for them [hoarders],” he added, “because of this, we have received reports of artificial shortages in the market.”

  • ‘Misleading and incorrect’: OGRA rejects speculations about massive petrol price hike

    ‘Misleading and incorrect’: OGRA rejects speculations about massive petrol price hike

    The Oil and Gas Regulatory Authority (OGRA) on Saturday rubbished rumours about a whooping increase of Rs80 per litre in petrol price.

    “It has been observed that speculative prices of gasoline and diesel are being reported in the print and electronic media since last evening, which is misleading and incorrect,” an OGRA spokesman said in a press statement.

    He advised the elements to avoid disseminating speculative prices of petroleum products in the “public interest” by spreading misleading and incorrect information.

    Earlier, OGRA also denied reports of a shortage of diesel and gasoline in the country, saying that sufficient stocks were available. However, in line with the government’s aim to convince the International Monetary Fund (IMF), the Ministry of Finance is expected to increase the price of petroleum in the upcoming fortnightly review.

    The massive depreciation of the local currency against the US dollar in the last two days would not reflect greatly in the review due on January 31 (Tuesday) as the average exchange rate would clock in at Rs240, information gathered from the country’s oil sector showed.

    However, the fortnightly review due on February 15 may reflect a significant increase in domestic petroleum prices on account of rupee depreciation.

    Free on board (FOB) pricing will result in a significant increase in the price of fuel and gasoline in the subsequent weekly review the following week, according to The News.

    According to sources with knowledge of the situation, using FOB would likely result in an increase of Rs25 in the price of fuel. “The exchange rate would create some hike, but not so much”, they said, attributing the hike to FOB as diesel price in the international market went up to $117 per barrel compared to $114 per barrel.

  • Russian delegation will visit Pakistan tomorrow to discuss long-term oil and gas deal

    Russian delegation will visit Pakistan tomorrow to discuss long-term oil and gas deal

    The much-touted $3 billion Pakistan Stream Gas Pipeline (PSGP) project, as well as a long-term trade agreement for oil and liquefied natural gas (LNG), will be the topics of bilateral negotiations between Pakistan and a Russian delegation that will arrive tomorrow.

    The team, which consists of 80 personnel, will land in Pakistan on Tuesday for three days of bilateral discussions through the Inter-Governmental Commission forum (IGC).

    For the IGC negotiations, the Pakistani delegation will be led by Federal Minister Sardar Ayaz Sadiq. Both states must first negotiate the IGA (inter-governmental agreement), which was finalised and signed in the case of the Pakistan Stream Gas Pipeline Project (PSGP), formerly known as the North-South Gas pipeline project, in order to import Russian oil and LNG on a GtG basis.

    According to The News, the shareholding and facilitation agreement for PSGP was still in draught form on February 24, 2022, when former prime minister Imran Khan travelled to Moscow. Both parties wanted to sign the PSGP agreement during the Imran and Putin meeting, but it was not able to be done since the experts from both sides could not agree on several terms of the shareholding agreement.

    Currently, the G7 nations have capped the price of Russian crude oil at $60 per barrel and forbade the use of Russian ships to carry oil. In exchange, Moscow promised to stop selling oil to nations who agree to a Western price restriction on its petroleum.

    The Pakistani side will talk about the shipment costs, the premium by the shipping trader, the insurance coverage, and the payment options.

    Agribusiness, energy, customs, industry, education, research and technology, information and communication technologies, communication, roads and postal service, railroads, and finance are all included in the IGC’s agenda as areas for cooperation in trade and investments. Additionally, Pakistan’s debt to Russia will be settled and discussed.

    The potential for cooperation in the areas of electric power, hydropower, renewable energy sources, and oil and petrol production will also be discussed by the two sides.

    In their response, the Pakistani team proposed to change the model of the PSGP project. The Russian side said that the model of the project under GtG (government-to-government) arrangement had already been settled, save for some clauses of the shareholding agreement, which would soon be finalized.

  • Petrol price to remain unchanged at Rs214.80 per litre for next fortnight

    Petrol price to remain unchanged at Rs214.80 per litre for next fortnight

    Finance Minister Ishaq Dar announced on Saturday that the government will maintain the price of petroleum products for the next two weeks.

    In a video statement, he said that the Oil and Gas Regulatory Authority (OGRA) requested an increase in domestic rates of petroleum products because of the upward trend in oil prices. However, he said that the price revision was rejected by the government.

    The price of petrol will remain unchanged at Rs214.8 per litre while diesel will be sold at Rs227.80 per litre till mid-January 2023.

    Kerosene oil will be sold at Rs171.83 per litre while light diesel oil will be sold at Rs169 per litre.

    “Kerosene is used by the low-income segment for heating needs,” the finance minister said.

    Previously, the market anticipated that the cost of petroleum products would remain unchanged.

  • Russia agrees to supply blended crude oil to Pakistan, rates to be finalised next month

    Russia agrees to supply blended crude oil to Pakistan, rates to be finalised next month

    A delegation from Moscow will visit Islamabad in January 2023 to talk about the potential sale of Russian oil.

    Officials from Russia and Pakistan met via video link to discuss purchasing crude oil and petroleum products from Moscow, according to government sources.

    Musadik Malik, Pakistan’s State Minister for Petroleum, and the Secretary for Petroleum took part in the online meeting.

    Due to Pakistan’s inability to refine crude oil of a single specification, Russia has offered to supply Pakistan with blended crude oil. The offer represents a portion of the daily supply of 100,000 barrels of crude oil.

    Senior officials from the Petroleum Division and representatives from the oil industry made up the Pakistani side, which was chaired by State Minister for Petroleum Dr Musadik Malik, while senior officials from the Russian energy ministry and relevant departments constituted the Russian side.

    The Pakistani government informed its Russian counterparts that their nation needs crude oil, petroleum products, gas, and infrastructure investment, according to sources with knowledge of the meeting’s activities.

    According to The News, when a delegation from Russia visits Pakistan, the Russian side stated that they will further consider their intentions to collaborate with the Pakistani authorities.