In a significant reprieve for a populace grappling with inflation, the interim government announced a noteworthy reduction in petrol prices for the upcoming fortnight, alleviating the financial burden on consumers.
On Friday late night, the Finance Division issued a notification disclosing the adjusted rates for petroleum products, in effect from December 16 through December 31, in accordance with recommendations from the Oil and Gas Regulatory Authority (Ogra).
According to the Finance Division’s statement, the price of petrol has been revised downward by Rs14 per litre, bringing it to Rs267.34 per litre. Similarly, the diesel rate sees a substantial reduction of Rs13.50 per litre, now standing at Rs276.21 per litre.
Furthermore, kerosene oil witnesses a decrease of Rs10.14 per litre, resulting in a revised price of Rs191.02, while light diesel oil is now priced at Rs164.64 per litre after a reduction of Rs11.29. The adjustment in fuel prices was anticipated due to a significant drop in global oil prices over the past fortnight.
Officials indicated that the international prices of both High-Speed Diesel (HSD) and petrol experienced a nearly 5% decline during the reviewed period. HSD, on average, became $4 cheaper per barrel, decreasing from approximately $99.50 to $95.50, while the price of petrol dropped by a dollar.
The relative stability in domestic prices is attributed not only to the decline in global oil prices but also to a modest recovery of the rupee against the dollar. The rupee strengthened to Rs284 on December 13, compared to about Rs285.5 on December 1.
During the same period, the benchmark Brent oil fell from $79 per barrel to $73.
It is noteworthy that the government has already reached the maximum permissible limit under the law, setting the petroleum levy at Rs60 per litre for both petrol and HSD.
