Islamabad (July 31, 2018): OGRA has sent a summary to the Power Division for yet another hike in prices of various petroleum products effective August 1.
The regulatory body has recommended an increase of Rs2.75 per litre in petrol prices, Rs3 per litre for diesel, and Rs4 per litre for kerosene oil, sources familiar with the matter said.
The caretaker government, however, may leave the decision for a revision in petroleum prices to the incoming government, the sources added.Earlier on July 18, a report pertaining to the taxes on petroleum products was submitted in Supreme Court.
The report reveals that Rs33 per litre tax is received on petrol and Rs46 on diesel. The import price of petrol is Rs61.87 whereas that if diesel is Rs67.
The custom duty applied on petrol is Rs3.15 while the General Sales Tax (GST) is Rs10.20.
The report maintains that the levy on petrol in Rs10, oil company margin Rs2.64, dealer margin Rs3.47 and inland freight margin Rs3.91.It adds that the import price of diesel is Rs67, custom duty Rs8.89, levy Rs8, oil marketing company margin Rs2.64, dealer margin Rs2.93, GST Rs21.86 and inland freight margin Rs1.55.
A three-member bench of Supreme Court (SC) headed by CJP Mian Saqib Nisar is hearing the suo motu notice case against the undue taxes on petroleum products.
Petroleum prices revised down
On July 8, the caretaker government revised down the petroleum prices in light of directions from SC to reconsider the matter of hike in petroleum prices.
The price of petrol was decreased by Rs4.26 per litre, that of High-Speed Diesel by Rs6.37 per litre, Kerosene Oil by Rs3.36 per litre and the price of Light Diesel Oil by Rs5.54 per litre.During the course of hearing held on July 05, 2018, relating to suo motu notice of an increase in petroleum prices, SC directed the federal government to reconsider the matter in order to provide all possible relief to the general public.
On June 30, the government, on the recommendation of Oil and Gas Regulatory Authority (OGRA) had increased the prices of Petrol by Rs. 7.54 per litre, High-Speed Diesel by Rs. 14.00 per litre, Kerosene Oil by Rs 3.36 per litre and Light Diesel Oil Rs. 5.92 per litre.