SHC directs OGRA, Ministry of Petroleum to file comments on increase in prices of POL

KARACHI: The Sindh High Court on Thursday directed ministry of petroleum, oil and gas regulatory authority and others on petition against increase in the prices of petroleum products.

Petitioner Maulvi Iqbal Haider submitted in the petition that federal government has increased the petroleum products prices up to 9.42 percent in May despite increase of up to 6.4 percent two months back which is unlawful and in violation of various articles of the Constitution. He submitted that the increase was unjust as government has already increased the general sales tax on all petroleum products to a standard rate of 17 percent across the board to generate additional revenue. He submitted that government is competent to impose taxes on general public but subject to approval of parliament by way of an act of Majlis-e-Shoora which provided an annual budget but the government in violation of the constitution submitted a mini budget in March 2019 and imposed the taxes.

He submitted that prices of all necessary items were automatically increased due to unjustified increase in petroleum products prices and people belonging to lower income group have to bear such inflation. The court was requested to declare that increase in price of all petroleum products by up to 9.42 percent and imposition of tax on such increase, unjust and unlawful and direct the government to recall the notification. He also sought injunction against increase in petroleum products prices.

SHC’s division bench headed by Justice Mohammad Ali Mazhar took exception over non-filing of comments by the federal law officer and directed the ministry of petroleum, OGRA and others to file comments by May 30.