Petrol prices likely to see slight increase from August 16

ISLAMABAD: Petrol prices may see a slight increase while diesel rates are expected to drop significantly from August 16, according to sources.

According to the initial calculations, petrol is likely to become costlier by Rs1.32 per litre, while high-speed diesel could see a reduction of Rs11.75 per litre.

The price of kerosene may drop by Rs6.25 per litre, and light diesel oil could decrease by Rs7.11 per litre.

Sources said the petroleum ministry has prepared the preliminary working on prices, which will be sent to Prime Minister Shehbaz Sharif after consultations with the finance ministry.

Exchange rate adjustments and changes in petroleum levy rates will be factored in before finalising the proposal.

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The final decision will rest with the prime minister, with the new prices taking effect from midnight on August 16.

Industry sources said the recommended cut in diesel prices would bring the rate down from the current Rs285.83 per litre to Rs274.08 per litre. Petrol prices, currently at Rs264.61 per litre, are proposed to increase to Rs265.93 per litre.

Kerosene is expected to fall to Rs179.21 per litre after a Rs6.25 reduction, while light diesel oil may drop to Rs163.25 per litre after a Rs7.11 cut.

The Oil and Gas Regulatory Authority (OGRA) will send its summary to the federal government on August 15. Following the prime minister’s approval, a formal notification of the new rates will be issued.