The Oil and Gas Regulatory Authority (OGRA) has hinted that petrol product prices will rise beginning March 1, citing the depreciation of the Pakistani currency and an unprecedented increase in international crude oil prices.
Chairman Ogra Masroor Khan told the NA Standing Committee on Energy (Petroleum Division) that the situation is in front of you because there is no precedent for rising oil prices in the international market that have occurred in the last 12 weeks. Imran Khattak presided over the meeting.
According to the chairman of the OGRA, the rupee has also depreciated significantly against the dollar. He stated that the government receives Rs. 14 per litre of petrol levy while GST is zero.
He went on to say that the money coming into the Treasury is being tampered with. The committee’s chairman inquired as to how the situation in Russia and Ukraine will affect the prices of PoL products in the country?
Chairman Ogra responded that the answer is obvious based on the current situation. As prices rise, the burden will fall on the people, according to Chairman Ogra.
Khurrum Dastagir inquired if there was any concern about rising diesel prices. Masroor Khan, Chairman of the Oil Companies Advisory Committee (OCAC), responded that the OCAC and other stakeholders have expressed their concern in this regard.
Masroor Khan also stated that the formula for determining oil prices has not changed and that they are still using the old formula.
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