On Thursday, the Federal Government once again adjusted the price of petroleum products in the country, raising both petrol and high-speed diesel prices. The new prices will be applicable from July 31, after which consumers will have to bear more expenses on purchasing fuel.
According to an official announcement, the price of petrol has been increased by Rs 1.09 per litre, while the price of high-speed diesel has been increased by Rs 2.42 per litre. Following this hike, the fresh rates of petrol have been pegged at Rs 336.15 per litre, while those of high-speed diesel have been set at Rs 393.04 per litre.
Local fuel prices are set considering various economic factors like international crude oil prices, import costs, exchange rates and taxes, officials said. The ongoing fluctuations in the global energy market in recent days have also affected the prices.
Various taxes and duties are currently being levied on petrol and diesel, which are regarded as an important source of national revenue. Experts say this is why even if there is a minor shift in the global market, there are changes in local prices as well.
In recent months, the government has changed the method of determining the prices of petroleum products and introduced a daily review system. The aim of this move is to adjust local prices more effectively according to the rapidly changing prices in the global market.
On the other hand, the representative organisation of petrol pump owners has expressed reservations about the decision to determine daily prices. The organisation is of the opinion that this system may affect business planning, while consultations are underway on the future course of action in this regard.
According to economists, the increase in the price of petrol has a direct impact on millions of citizens who use private vehicles, motorcycles and rickshaws, while the increase in the cost of diesel may also affect the cost of freight, agricultural activities, industrial production and electricity, which is likely to increase inflationary pressure.
Analysts say that if the uncertainty in global crude oil prices continues, further changes in local petroleum prices may emerge in the coming days. Therefore, consumers and business circles are now keeping a closer eye on the daily prices issued.
