The benefit of falling petroleum product prices in the global market has not been passed on to consumers. The government has kept the price of petrol at Rs 299.50 while the price of diesel at Rs 311.47 and has issued a notification till further orders.
Pakistan buys crude oil according to the Singapore market rate, so we take the benchmark of rising and falling prices in the global market as the current price of Dubai crude oil is $75 per barrel, while the international market is $71 per barrel. If the price of Dubai crude oil is taken, the price of petrol in Pakistan, including all taxes, is Rs 256.52.
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If we add Rs 66.64 as petroleum levy, Rs 2.50 as carbon levy, Rs 2.87 as freight margin, Rs 8.64 as oil companies’ profit, Rs 7.87 as dealer margin and Rs 25 as customs duty along with Rs 11 as premium to the price of petrol, the total price becomes Rs 256.52, which is Rs 42 less than the current price… If we also add 10 percent additional cost of imported ready-made petrol to it, its price becomes Rs 281.52, and still it is petrol, a relief of Rs 18 is made…
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Similarly, if we talk about diesel, the government has not given relief to the consumers on this too. If all taxes and duties are included in the price of diesel, the price becomes Rs 268.55 per liter. The price of diesel includes Rs 79.54, levy 2.50, carbon levy 2.40, freight margin 7.87 and Rs 8.64, the profit of oil companies. If a premium of Rs 11 per liter is added to this and customs duty of Rs 25 is added, the price still becomes Rs 268.55, which is Rs 42 less than the current price. If the difference between imported diesel and ready-made diesel is added by 10 percent in the price of diesel, the price still decreases by Rs 16 per liter, which the government has not passed on to the consumers.
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Last week, oil companies wrote a letter to the Petroleum Minister claiming a loss of Rs 104 billion due to the high increase in diesel prices, due to which prices were not increased this time to cover this loss