Islamabad August 16 2022: The price of petrol has gone up (and diesel has gone down) because the cost paid by PSO in the previous fortnight was more than the cost estimated by OGRA and also because the premium paid by PSO on petrol increased says Pakistan’s Finance Minister Miftah Ismail.
According to an annou¬ncement by the ministry of finance yesterday, the rate of petrol and light diesel oil (LDO) was increased by Rs6.72 and 43 paisa per litre, respectively. On the other hand, the prices of high speed diesel (HSD) and kerosene were cut by 51 paisa and Rs1.67 per litre respectively.
“A brief explanation on how petrol and diesel prices are set in Pakistan. OGRA takes the average of Platt prices, adds freight and premium paid by PSO on top of these prices, and multiplies that by the exchange rate. In addition it also “trues up” the previous fortnight’s cost.” says Miftah Ismail.
He added, “by taking into account the rupees paid by PSO at the actual exchange rate as opposed to the average used to estimate the previous fortnight’s cost. We have not added any new tax or levy to the price. The price of petrol has gone up (and diesel has gone down) because the cost paid by PSO in the previous fortnight was more than the cost estimated by OGRA and also because the premium paid by PSO on petrol increased and premium paid on diesel remained unchanged. Again, not one paisa of new taxes or levies was added.”
