Tag: Petroleum prices

  • Transporters overcharge passengers after fresh increase in fuel prices

    Transporters overcharge passengers after fresh increase in fuel prices

    The recent hike in petroleum prices has been met with public outcry, with many stating that the significant increase in petrol prices has severely impacted the common man, as transporters have raised fares just ahead of Eid-ul-Fitr. This rise in oil product prices is also expected to have repercussions on the cost of daily commodities, particularly kitchen items.

    The Statistical Department of Pakistan has reported that people were already facing 44.6 per cent inflation, and the weekly report showed that this figure was expected to increase further with the recent hike in petroleum prices. The price of petrol has been raised to Rs282 per litre, while high-speed diesel and light diesel oil rates will remain stable at Rs293 per litre and Rs174.68 per litre, respectively. However, kerosene oil has seen an increase of Rs5.78 per litre, with its price now standing at Rs186.07 per litre.

    Long route transporters have increased fares by 10 to 20 per cent per ticket, while freight services charges have risen by 30 per cent. Over 70 per cent of people have started to travel to their native towns to celebrate Eid-ul-Fitr with their families, and they have protested against the sitting government for the fresh increase in petroleum prices. The business community has also warned of a new wave of inflation, and the Pakistan Oil Tankers Association and All Pakistan Truck and Trailer Association have rejected the hike in petroleum product prices.

    Local transporters have also increased fares without permission, claiming that there is no government in the country. However, the District Regional Transport Authority (DRTA) Secretary has stated that they have started a crackdown against transporters who are overcharging passengers. The senior representatives of the trader’s community have also rejected the present hike in petroleum prices and have advised political parties to work together to boost the country’s economy.

    The All Pakistan Clerks Association (APCA) has stated that they are facing difficulties due to the government’s wrong policies and have decided to start a revolution after Eid-ul-Fitr against the wrong government policies. Wagon owners and drivers have protested at the termination points of their routes, while public transport operators in the Rawalpindi division will be meeting to discuss the situation. In summary, transporters, traders, and the general public have strongly reacted to the recent increase in fuel prices.

  • Pakistan sees increase in LPG prices following petrol price hike

    Pakistan sees increase in LPG prices following petrol price hike

    The Oil and Gas Regulatory Authority (OGRA) has announced an increase in the price of Liquefied Petroleum Gas (LPG) in Pakistan, following the recent hike in petrol prices. As per the notification, the price of LPG has been increased by Rs10 per kilogramme, with the new price per kilogramme set at Rs229.

    Moreover, the price of domestic and commercial cylinders of LPG has also been raised. The price of a domestic cylinder has been increased by Rs120, whereas a commercial cylinder will now cost Rs450 more than the previous rate.

    In addition, the federal government recently increased the petrol price by Rs10 per litre for the next two weeks. During a televised speech, the finance minister explained that the hike was due to the rise in international petroleum prices and exchange rate fluctuations.

    As a result, the new petrol price has been fixed at Rs282 per litre, while the rates for high-speed diesel (HSD) and light diesel oil have remained unchanged at Rs293 per litre and Rs174.68 per litre, respectively.

    Furthermore, the government has also raised the price of kerosene oil by Rs5.78 per litre, pushing it up from Rs180.28 per litre to Rs186.07 per litre.

  • ‘I am an easy target’: Miftah Ismail reacts to criticism after another petroleum hike

    ‘I am an easy target’: Miftah Ismail reacts to criticism after another petroleum hike

    Finance Minister (FM) Miftah Ismail once again explained how the petrol prices are calculated after receiving criticism for the increase in petroleum prices.

    Responding to senior journalist Hamid Mir on Twitter, he said the government has not imposed any tax on petroleum products.

    Clarifying his position, the minister said that he did not say that the price will not be increased.

    “Mir sahib I said I will not add one penny of new taxes or levies to the price. And I have not. But you know Hamid sahib that the fuel price summary is moved by OGRA and sent to Finance division through the Petroleum division. We get it only a few hours before prices are set.”

    “I am an easy target. Which is fine. But this price change only reflects the change in PSO costs and doesn’t have any new taxes,” said Miftah Ismail.

    The finance minister added that people are welcome to critique or criticise him.

    “I know I am sincere to my country and have saved it from default and working to the best of my ability.”

    Zardari unhappy with govt’s decision to increase petrol prices

    Pakistan People’s Party (PPP) Co-Chairperson Asif Ali Zardari distanced himself from the recent increase in the petroleum prices by the government.

    Zardari said the PPP is a part of the government and supports it, but there must be consultations on such decisions.

    “We are all here in this government to give relief to the people and that should be our top priority. We are with the prime minister and will meet him soon and talk about the economic team,” he added.

    ‘I am not involved in this decision’: Nawaz Sharif leaves party meeting over increase in petrol prices

    Pakistan Muslim League-Nawaz (PML-N) leader Maryam Nawaz took to Twitter and said that PML-N supremo Nawaz Sharif was unhappy with the government increasing the petrol prices and as a result left the meeting.

    “Mian Sahib strongly opposed this decision and even said that I cannot burden the people with one more penny. And if there is any compulsion of the government, I am not involved in this decision and he left the meeting,” tweeted Maryam.

    She further tweeted, “I stand with the people. Cannot support this decision.”

    The government increased the price of petrol by Rs6.72 per litre and decreased the price of high-speed diesel (HSD) by Rs0.51 and kerosene oil by Rs1.67 per litre.

    Read more: Govt raises petrol price by Rs6.72 to Rs233.91 per litre

    The price of light diesel oil (LDO) was raised by Rs0.43 per litre by the government.

    Prior to this, the coalition administration had decreased the cost of petrol and LDO starting on August 1 by Rs3.05 and Rs0.12, respectively.

  • Govt raises petrol price by Rs6.72 to Rs233.91 per litre

    Govt raises petrol price by Rs6.72 to Rs233.91 per litre

    Despite several reports of an expected decrease in prices of petroleum products, the government increased the price of petrol by Rs6.72 per litre and decreased the price of high-speed diesel (HSD) by Rs0.51 and kerosene oil by Rs1.67 per litre.

    The price of light diesel oil (LDO) was raised by Rs0.43 per litre by the government.

    Prior to this, the coalition administration had decreased the cost of petrol and LDO starting on August 1 by Rs3.05 and Rs0.12, respectively.

    However, starting on August 1, 2022, the government had increased the price of HSD by Rs8.95 per litre and kerosene oil by Rs4.62 per litre.

    With the most recent announcement, the price of petrol has gone up from Rs227.19 per litre to Rs233.91 per litre, and that of LDO has gone up to Rs191.75 from Rs191.32 per litre; and that of HSD has gone up to Rs244.95 from Rs244.44.

    Kerosene oil is now available for Rs199.40 per litre as opposed to its earlier price of Rs201.07 per litre.

    The rapid depreciation of the rupee against the dollar had previously also been a significant determinant of oil prices.

    The standing of the rupee against the dollar had improved recently. In spite of this, the cost of gasoline had increased.

    Additionally, there had not been a significant decrease in the cost of diesel, which is widely used in the nation’s transportation and agricultural sectors.

  • ‘Miftah is facing immense criticism from within PML-N’: Khawaja Asif

    ‘Miftah is facing immense criticism from within PML-N’: Khawaja Asif

    Defence Minister Khawaja Asif on Saturday tweeted in support of Finance Minister (FM) Miftah Ismail. He further revealed that Ismail was facing immense criticism from within the Pakistan Muslim League-Nawaz (PML-N) because of the continuous increase in petrol prices.

    “FM Miftah is among the hardest working members of PM’s team, accessible to all stakeholders,” tweeted Khawaja Asif.

    “He is performing v. well under difficult circumstances, with immense criticism from vested interests – including, and unfortunately, from within PMLN. Time to show solidarity with Miftah.”

    Miftah Ismail had recently said that he was “not supposed” to appear on national television to announce an increase in the cost of petroleum products, but that he did so in response to a directive from Prime Minister (PM) Shehbaz Sharif.

    It is pertinent to mention here that PML-N’s supremo Nawaz Sharif’s close aide and former Finance Minister Ishaq Dar confirmed his return to Pakistan in July. He said that he is coming back on the directions of Nawaz and the decision was taken after the consent of PM Shehbaz.

    There was news circulating of Dar taking the charge of the finance ministry, to which he said he cannot decide this matter. “My party will decide.”

    Ismail is under pressure since the government announced multiple hikes in petroleum products and the delay in the revival of the International Monetary Fund (IMF) bailout programme.

  • Pakistan aims to enhance Saudi oil facility to $3.6 billion

    Pakistan aims to enhance Saudi oil facility to $3.6 billion

    A spokesperson for the Petroleum Division said that Pakistan is in talks with Saudi Arabia to increase the size of an oil facility on deferred payments from its current $1.2 billion to $3.6 billion.

    According to The News, when former Prime Minister Imran Khan visited Riyadh in October of last year, Saudi Arabia made a $4.2 billion support agreement, which included a $1.2 billion oil loan facility for Pakistan.

    Syed Zakria Ali Shah, joint secretary of international and joint ventures at the Pakistani petroleum division, revealed that the division was attempting to increase the value of its current facility with Saudi Arabia from $1.2 billion to $3.6 billion.

    Pakistan receives monthly oil deliveries worth $100 million under the current Saudi oil facility with deferred payment. Oil prices were low when the deal was struck, but because of their exponential rise, we are currently negotiating with the Saudis to increase their oil facility from $100 million to $300 million every month.

    A member of the Islamic Development Bank (IsDB) group, the International Islamic Trade Finance Corporation (ITFC), Shah claimed Saudi Arabia was also assisting Pakistan in using another existing oil financing facility.

    The last framework agreement for this facility was signed between our economic affairs division and ITFC on February 21, 2022, according to Shah. “The government of Pakistan has this facility for oil and liquefied natural gas (LNG) imports under the framework agreement with ITFC since 2017–18,” he said.

    The facility will cost a total of $4.5 billion over three years, from 2022 to 2024, or roughly $1.5 billion per year on a best-effort basis, the official continued.

  • No memes: Twitter is angry over another petrol price hike

    No memes: Twitter is angry over another petrol price hike

    The federal government increased the price of all petroleum products yesterday (June 15). This includes an increase of Rs24 per litre for petrol and Rs59.16 per litre for high-speed diesel (HSD). This is the third hike in petroleum prices in less than a month.

    Federal Minister for Finance and Revenue Miftah Ismail criticised the PTI government for reaching an erroneous agreement with the International Monetary Fund (IMF), which tied the incumbent’s hands and forced it to raise oil prices to get the economy back on track.

    Prime Minister Shehbaz Sharif tweeted, “Acutely aware of the impact that a fuel price hike causes. Govt is left with no choice but to raise the prices due to IMF deal that PTI govt signed.”

    Read more-Govt hikes price of diesel by Rs59, petrol by Rs24

    People on social media are expressing their anger and exasperation after the latest petrol bomb was dropped by the government.

    https://twitter.com/Noobiy12/status/1537272865426395136
    https://twitter.com/Zohadtweets/status/1537250462994407424
  • ‘Please don’t go out in the heat to get tanks filled’: Miftah Ismail

    ‘Please don’t go out in the heat to get tanks filled’: Miftah Ismail

    Finance Minister Miftah Ismail said on Sunday that the government has no plans to raise the price of petroleum goods for the time being.

    Addressing a press conference, the finance minister said that Prime Minister Shehbaz Sharif had rejected the proposal of increasing petroleum prices today, adding that the government could not burden the people any further.

    “We are not increasing prices today. Please do not go out in this heat to get your tanks filled,” said Miftah Ismail.

    However, Miftah later tweeted, “But due to changing circumstances and international oil prices, we may have to revisit our decision soon.”

    The finance minister stated that he will be part of a delegation travelling to Qatar for talks with the International Monetary Fund (IMF) next week and he hoped the negotiations would be productive for the country.

  • Petrol, Diesel prices to remain unchanged till April 15

    The government has decided to maintain the existing prices for petroleum products for the fortnight. Petroleum prices will remain unchanged from April 1 to April 15, as per a statement released by the finance division.

    Petrol is currently priced at Rs149.86 per liter, while diesel, kerosene oil, and light diesel are priced at Rs144.15, Rs125.56, and Rs118.31 per liter, respectively.

    Following an increase in global market prices at the time, the government approved a record-breaking Rs12.03 per liter hike for petrol on February 15. Surprisingly, on February 28, the government decreased POL prices by Rs10 per liter, to lessen the impact of existing inflation on the public.

    The Oil and Gas Regulatory Authority (OGRA), on the other hand, has raised the price of liquefied petroleum gas (LPG) by Rs13 per liter.

    Read More: Nisab amount of zakat deduction set at Rs88,927 for 2022

    After an increase of Rs157 per domestic cylinder and Rs606 per commercial cylinder, the prices of domestic and commercial LPG cylinders have been fixed at Rs2,916 and Rs11,220, respectively, for April 2022.

    Conversely, in the aftermath of the Russia-Ukraine conflict, the international market saw massive volatility as crude oil prices reached new highs.

  • Oil companies warn govt of fuel shortage in Pakistan

    Oil companies warn govt of fuel shortage in Pakistan

    Oil marketing companies and refineries have reportedly expressed serious concerns and warned of a fuel crisis in the country after the government’s announcement of a relief package, according to Geo News.

    In a meeting between Oil and Gas Regulatory Authority (OGRA) and the petroleum division, several questions have been raised regarding petroleum prices. They argued that how can they sell petroleum products at cheaper prices when they are buying them at an expensive rate from the international market. They asked, “who will pay the price difference?”

    According to the secretary of petroleum, the government is preparing a price adjustment mechanism and the government will pay later. Till then, oil marketing companies and refineries should bear the price difference.

    In response to this, oil marketing companies and refineries said that the situation doesn’t seem to be sustainable as the country can face an interruption in the supply of petroleum products.

    Prime Minister (PM) Imran Khan, in an announcement on Monday, said that the government has slashed petrol, diesel prices by Rs10 per litre and electricity prices by Rs5 per unit as part of a series of measures to bring some relief to the public. He also promised that the government will not increase the prices of these commodities till the next budget, which will be announced in June.