With effect from March 1, the government cut the cost of petrol by Rs. 5 per liter on Tuesday (today).
The government kept the price of diesel unchanged despite the expected decline in order to increase the petroleum levy rate.
Kerosene oil prices also decreased by Rs. 15 per liter. The cost of light diesel oil (LDO) decreased significantly by Rs. 12 per liter as well.
Petroleum Products Prices:
March 1 to 15 , 2023:High Speed Diesel- with No change Rs 280 per litre
MS Petrol —with Rs 5 reduction,Rs 267 per litre
Kerosene Oil – with Rs 15 reduction, Rs 187.73 per litre
Light Diesel Oil -with Rs 12 reduction, Rs 184.68 per litre
— Ishaq Dar (@MIshaqDar50) February 28, 2023
Levy on Petrol and Other Products
As it previously levied a petroleum fee of Rs. 50 per liter on gasoline, the government reduced the price. As a result, it has no room to alter the fuel levy reduction further.
Cost of petrol dropped from Rs. 272 to Rs. 267 per liter.
In Punjab, notably, petrol is a substitute for compressed natural gas (CNG) and is utilized in automobiles and motorcycles.
Liquefied natural gas that has been imported has been used in the CNG retail outlets (LNG). Due to the lack of LNG, the outlets had not been open over the recent winter.
High-speed diesel remains priced at Rs. 280 for each liter.
It was anticipated that the government would reduce the cost per liter by Rs 20. The government did have the option to raise the duty on fuel from 40 to 50 rupees per liter.
As a result, in order to raise more money, the government did not lower its price but rather raised the tax rate.
In accordance with the agreement struck with the International Monetary Fund, the government had already agreed to increase the rate of the petroleum levy charge in March and April.
In the transportation and agricultural industries, diesel is widely used. Farmers may feel relieved as a result of the price drop, and inflation may rise as a result.
Kerosene oil is used for cooking, particularly in Pakistan’s remote northern regions where LPG is not accessible.
In the northern regions of the nation, the Pakistan Army was another significant user of kerosene oil.
Kerosene oil cost Rs. 202.73 per liter, but it is now only Rs. 187.73 per liter.
The cost of LDO, which is utilized in the industry, has decreased to Rs. 184.68 per liter from Rs. 196.68 per liter.
To read our blog on “Govt. increased petrol prices again by Rs. 22.20/liter,” click here.
