Petrol Prices in Pakistan – Due to currency devaluation and rising international oil prices, petroleum product prices are expected to climb again later this week.
According to a media report, the prices of petrol and high-speed diesel (HSD) are likely to go up by around Rs. 10-14 and Rs. 14-16 per liter, respectively, on September 15. Kerosene prices are also expected to increase by Rs. 10.
This increase is due to several factors. Firstly, the value of the Pakistani rupee dropped by Rs. 4.5 against the US dollar in the first ten days of the current fortnight, although it later slightly improved. Additionally, international benchmark Brent oil prices rose from $88 per barrel in the first week of September to over $92 per barrel, offsetting any gains from the exchange rate.
Furthermore, the government will implement an 88 paisa per liter increase in selling margins for petroleum dealers and marketing corporations, as approved by the Economic Coordination Committee (ECC) last week.
Import parity prices for petrol, diesel, and kerosene have also risen by Rs. 13, Rs. 14, and Rs. 10 per liter, respectively, since September 1. Alternatively, based on Pakistan State Oil (PSO) product imports, the sale prices for these petroleum products are expected to rise by Rs. 13, Rs. 16, and over Rs. 10 per liter, respectively. Jet fuel prices are also up by Rs. 10 per liter.
As a result, it is anticipated that petrol and diesel prices will exceed Rs. 320 and Rs. 325 per liter, respectively, while kerosene prices will go above Rs. 240 per liter. This increase in fuel prices is expected to lead to higher inflation in various industries across Pakistan.
