Govt slashes petrol, diesel prices by Rs1.5 per litre

ISLAMABAD: The government on Tuesday slashed the prices of petrol, diesel and kerosene by Rs1.5 per litre each and announced one rupee litre cut in light diesel oil (LDO) price effective from September 1 (today).

With the cut in the prices of POL prices, the new prices of petrol will be Rs118.30 per litre, diesel Rs115.03 per litre, kerosene Rs86.80 and LDO price would be Rs84.77 per litre.

The finance ministry in a statement said that despite international price fluctuations in petroleum products and anticipated increase in future prices, the government had reduced the prices in order to provide maximum relief to the consumers.

The government has expressed firm commitment to ensure stability in prices of essential commodities and has sustained the price pressure in line with its commitment to the common man.

In Pakistan, petrol is being used mostly in cars and motorbikes. Diesel is used in the agriculture and transport sectors. Consumers in remote areas use Kerosene oil for cooking purposes where Liquified Petroleum Gas (LPG) is not available. LDO is being used in industrial sector.

It is pertinent to mention that the petroleum levy is kept at a minimum, which is a clear reflection that the government is fully cognizant of the impact of fuel prices on the prices of basic items that affect people directly, it said.

The government is also charging 17 percent general sales tax (GST) on all petroleum products. Apart from it, the government is also collecting petroleum levy (PL) on these products, which is directly taken from consumers.