Fuel prices likely to go up by Rs8.50 per litre

Fuel prices likely to go up by Rs8.50 per litre


Officials say petrol price has gone up by about $4 per barrel to $98.5 last week

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ISLAMABAD (Web Desk) - The prices of petrol and high-speed diesel are likely to be increased by Rs2.50 and Rs8.50 per litre, respectively today (Monday) for the next fortnight, despite a decline in the import premium and a slightly improved exchange rate.

The change is being associated largely with the impact of the Middle East escalation and the higher international market.

Sources said the prices of petrol and HSD had increased in the international market by about $4 and $4.50 per barrel, respectively, during the last fortnight, before the latest escalation. Depending on final calculation, the price of petrol is projected to be higher by Rs2.50 to Rs2.80 and that of HSD to go up by Rs8 to Rs8.50 per litre.

Interestingly, the import premium on petrol has dropped by almost 21pc to $10.7 per barrel over the last fortnight when compared to $13.50 in last few days of March and the rupee strengthened by about 40 paisa against a dollar to Rs278.20. The net impact is estimated to be about Rs2.80 per litre increase in petrol price from existing rate of Rs289.41.

The HSD price, on the other hand, was up in the international market and its import premium paid by the benchmark Pakistan State Oil remained unchanged at $6.50 per barrel.

HSD rate was thus estimated to be higher by Rs8 to Rs8.50 per litre, subject to final exchange rate adjustment in pricing, from current rate of Rs282.24 per litre at depot stage.

For the purpose of price calculations, officials said the petrol price had gone up by about $4 per barrel to $98.5 last week while HSD price went up by $4.50 per barrel to $102.9.