Petrol prices expected to reach Rs300

ISLAMABAD: In a development that could further strain Pakistan’s already beleaguered population, the cost of petrol and high-speed diesel (HSD) is poised for a substantial surge of up to Rs20 per litre.

This sudden uptick is attributed to the depreciation of the Pakistani rupee against the US dollar and slight fluctuations in international oil prices.

Estimates provided by oil sector companies indicate that the price of petrol could jump by more than Rs10 per litre, propelling it from the current Rs290.45 to Rs300.45 per litre, marking a 3.5 percent rise.

Concurrently, the price of high-speed diesel (HSD) might witness a significant increase of Rs20 per litre, vaulting from Rs293.40 to Rs313.40 per litre, signifying a 6.9 percent increment.

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Moreover, other petroleum products with marginal shares in the nation’s overall fuel consumption, specifically KERO and LDO, are also expected to experience price hikes.

KERO could see a rise of Rs14 per litre, raising its cost from Rs217.15 to Rs231.15 per litre. Similarly, LDO prices may climb by Rs10 per litre, reaching Rs208.80 per litre from the prevailing Rs199.79.

This escalation in fuel costs ensues an average exchange rate loss of Rs9.93 against the US dollar over the preceding 15 days, with the rupee’s value depreciating from Rs288.25 to Rs298.18.

The price calculations take into account a petroleum levy (PL) of Rs55 per litre on petrol and Rs50 per litre on HSD. This development comes subsequent to two consecutive reviews that have already seen the price of petrol surge by Rs37.50 per litre, while HSD has become Rs40 more expensive.

These projected price hikes pose substantial challenges to the already struggling masses and businesses in Pakistan. The situation is anticipated to have extensive implications on the nation’s economic landscape, underscoring the necessity for proactive measures to alleviate the impact on the population.