Prices of petroleum products deepened the economic crisis in the country as Shahbaz-led coalition government raised the prices four times. Rapid increase in petroleum prices was denoted to the surge in prices in the global market and for fulfilling the conditions imposed by the global lender. On the positive side, it is likely that the prices of petroleum, oil and lubricants (POL) would go down by Rs.15 per litre as crude oil prices have fallen in the global market.
Read more: Petroleum prices likely to be reduced!
The development would bring some relief to the people who have been suffering from last couple of months.
For the first time in months, the average retail price of gasoline in the United States went below $4 per gallon (3.78 litres) on Thursday.
According to the American Automobile Association, the national average price for regular unleaded gas has dropped to $3.990 per gallon.
Gasoline prices hit a record high of $5.02 per gallon in June, burdening the consumers and forcing them to buy less fuel in July than they did during the pandemic in July 2020.
On account of these global changes, the Authority has begun working on petroleum product pricing, according to Oil and Gas Regulatory Authority (Ogra) sources.
They also shared that the relief could exceed Rs15 per litre by reduction in the rate of levy imposed on petroleum products.
Petrol prices are expected to fall by Rs12 per litre, while diesel prices would fall by Rs15.
According to the sources, Ogra will submit the final report to the finance ministry on August 13, and the new petroleum product pricing would be revealed on August 15.
Recent developments in the form of declining trade deficit, strengthening of rupee against the US dollar and foreign investments in the country are showing signs of stability. Expected development of fall in the prices of petroleum products would also bring benefits for all only if they do not increase again.