Federal government on Friday has announced to increase the price of petrol by Rs 25.58 per liter for the month of July in line with the hike in global crude oil prices. The new prices have taken immediate effect from the 26th of June.
According to a notification issued by the Finance Division, the price of petrol has been increased from existing Rs 74.52 to Rs 100.10 per liter. The price of diesel has gone up to Rs 101.46 from Rs 80.15 with an increase of Rs 21.31 per liter. The price of kerosene oil has been hiked by Rs 23.50 per liter from current Rs 35.56 to Rs 59.06 per liter. Light diesel oil (LDO) has seen a price revision by Rs 17.84 to go up from Rs 38.14 to Rs 55.98 per liter.
|Old Price (Rs per liter)||New Price (Rs per liter)||Difference in Rs|
|Light Diesel Oil||38.14||55.98||17.84|
After the increase, the government will continue charging Rs 30 per liter petroleum levy on petrol and diesel, Rs 6 per liter on kerosene oil and Rs 3 per liter on LDO. Last month the government had reduced prices of all petroleum products except high speed diesel to partially pass on the impact of massive international price reduction to the masses, however due to artificial shortage of fuel, the relief was never fully transferred to the public.
The government has already increased the general sales tax (GST) on all petroleum products to a standard rate of 17% across the board to generate additional revenues. Until January last year, the government was charging 0.5% GST on light diesel oil (LDO), 2% on kerosene, 8% on petrol and 13% on HSD. Besides the 17% GST, the government has almost quadrupled the rate of petroleum levy on HSD and petrol to Rs 30 per liter from Rs 8 per liter in January last year.