ISLAMABAD: The government has reduced prices of petroleum products by Rs8.48 per litre.
The Oil & Gas Regulatory Authority (Ogra) had proposed to the finance ministry that petrol prices be reduced by Rs 8.48 per litre, bringing it down from Rs 71.25 to Rs 62.77 per litre. High-speed diesel price has been cut by Rs 4.67 per litre from Rs 75.79 to Rs 71.12. Light diesel oil price has been cut by Rs 1.97 per litre from Rs 39.94 to Rs 37.97. High-octane blended component price has been slashed by Rs 2.98 per litre from Rs 75.66 to Rs 72.68.
Ogra had recommended that kerosene oil price be reduced by Rs 1.66 per litre from Rs 43.25 to Rs 44.91.
The regulator had recommended slashing oil prices by 17% for the month of February due to a sharp decline in the global oil prices following the lifting of sanctions on Tehran by the US and European powers. Ogra had proposed a reduction of Rs 7 to Rs 11 per litre. But the government cut prices by Rs 5 per litre, and the remaining impact was absorbed in changing the mechanism of the general sales tax.
Earlier, the government had been charging 17% GST on petroleum prices, and slashing oil prices led to a decline in revenue collection.
