The increase in prices of petrol and high-speed diesel was expected after the exchange rate adjustment.
ISLAMABAD: The outgoing caretaker government has jacked up the petrol price by Rs2.73 per litre to Rs275.62 per litre for the next fortnight, as recommended by Oil and Gas Regulatory Authority (OGRA).
“Government of Pakistan has decided to bring changes in the current prices of Petroleum products for the fortnight starting from 16th February 2024,” a statement issued by the Finance Division read.
As per the notification, the price of high-speed diesel has also been increased by Rs8.37 per litre to Rs287.33 per litre.
| Products | Existing price | New price | Increase/Decrease |
| Petrol | Rs272.89 | Rs275.62 | +Rs2.73 |
| High Speed Diesel (HSD) | Rs278.96 | Rs287.33 | +Rs8.37 |
The new prices, as recommended by Ogra have taken effect from this midnight (February 16) and will remain in place till February 29.
The increase in prices of petrol and high-speed diesel was expected after the exchange rate adjustment.
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According to official sources, the main hike in fuel prices comes in the wake of the alarming situation in the Red Sea where Houthis are attacking and restricting the movement of oil vessels and other ships.
Last month, the caretaker government increased the petrol price by Rs13.55 per litre in the light of ongoing tensions in Middle East as Israel continues to press war on Gaza.
Economic Coordination Committe okays massive gas price hike
Amid the ongoing economic crisis, the caretaker government on Wednesday burdened the masses with another gas price hike on the International Monetary Fund’s (IMF) demand.
The Economic Coordination Committee (ECC), which met under the chair of Finance Minister Dr Shamshad Akhtar, has also green-lighted a slight increase in the tariff for the protected consumers against the proposed hike by 40 to 66.67%.
Only the interim finance minister and energy minister know the exact hike in gas tariff of the protected consumers, the report said. The protected consumers fall in the first four slabs and utilise gas up to 0.25 HM3, 0.5 HM3, 0.6HM3 and 0.9hm3.
The final decision in this regard will be taken by the federal cabinet, a senior official who was part of the meeting told the publication.
“The impact of a reduction in proposed tariff of protected consumers has been passed on to the fertiliser sector.” However, the said changes will be pitched to the federal cabinet which may meet today (Thursday) for approval.
The tariff was hiked to meet the deadline of the IMF for hiking the gas prices under structural benchmark criteria till February 15, 2024.
However, as per the summary of the Petroleum Division, for roti tandoor, commercial, power sector and cement sector there would be no hike in the gas tariff.
The ECC approved the increase in gas tariff of CNG to Rs3,750 per MMBTU from Rs3,600 per MMBTU while for the fertiliser sector, the gas price of Engro and Fauji fertilisers for feed purposes has been suggested in the summary at Rs750 per MMBTU.
However, the impact of the reduction in the proposed increase in protected domestic consumers would also be passed on to these fertiliser plants.
For Agritech and Fatima fertiliser, the gas price has been increased to Rs1,597 from Rs1,239 per MMBTU and for fuel purposes, their tariff has been increased to Rs1,750 from Rs1,580 per MMBTU.
However, for non-protected domestic consumers, the ECC has approved the increase in gas prices by 5 to 66.67%. Those non-protected consumers who use gas up to 0.25hm3 will now pay an increase in gas tariff by 66.67% to Rs500 per MMBTU instead of the existing Rs300 per MMBTU.
The consumer who uses 0.6hm3 will face an increase of 41.7% in tariff to Rs850 per MMBTU from Rs600 per MMBTU. Those who use 1hm3 in a month will now pay Rs1,250 per unit from the existing Rs1,000 per MMBTU with an increase of 25%. The domestic consumer who utilises 1.5 hm3 a month would face an increase of 29.17% as their tariff has been increased to Rs1,550 per MMBTU from the existing Rs1,200.
Those consumers who consume gas up to 2hm3 will experience an increase in the gas price of 21.87% as their tariff has been increased to Rs1,950 from Rs1,600 per unit.
The ECC increased the gas price of those who use gas up to 3hm3 by 10% to Rs3,300 from Rs3,000 per MMBTU and those who use gas a month 4 hm3 will face an increase of 8.57% to Rs3,800 from Rs3,500 per MMBTU and those who utilise gas of over 4hm3 will face an increase of 5% to Rs4,200 from Rs4,000 per MMBTU.
