Govt adjusts premium on petrol and diesel

WEB DESK: The government has announced adjustments in petroleum product prices, effective March 1, 2024, incorporating a premium of Rs4.25 per litre on petrol and 26 paisa on high-speed diesel (HSD).

This revision considers factors such as the exchange rate and dealers’ margins.

In a recent fortnightly review held on Thursday, the government decided to raise the price of petrol by Rs4.13 per litre.

However, the rate for HSD remains unchanged compared to the previous fortnight (February 16–29).

The cost of supply for Pakistan State Oil (PSO), factoring in average platts with incidentals and duty, has led to an increase in the petrol rate from Rs192.69 to Rs196.93 per litre, marking a Rs4.25 per litre rise.

On the other hand, the HSD rate has seen a decrease of 26 paisa, dropping from Rs208.74 to Rs208.47 per litre.

The exchange rate adjustment for petrol has risen by 19 paisa, increasing from 52 paisa to 70 paisa.

Conversely, the adjustment on HSD has decreased by 32 paisa, moving from Rs1.97 to Rs1.65 per litre.

Moreover, the Inland Freight Equalisation Margin (IFEM) has been subject to changes. On petrol, it increased by 7 paisa, going from Rs6.94 to Rs7.01 per litre.

Meanwhile, on HSD, it has been reduced from Rs3.92 to Rs3.76 per litre, reflecting a decrease of 16 paisa. These adjustments aim to balance market dynamics and ensure fair pricing for consumers.

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