In response to the high fuel cost and other factors that have shaken economic confidence, politicians now say they’re going to target inflation with a simpler tax code for Pakistani Petrol Prices.
The government has proposed a new mechanism for regulating the price of petrol.
After the recent meeting between OMCs and OGRA, reports indicate that Pakistani Petrol Prices will most likely deregulate on November 1 of this year.
However, petroleum dealers have rejected the decision and stated that the Oil and gas Regulatory Authority has not even bothered to consult them. In a ceremony held by Pakistan Petroleum Dealers Association (PPDA), their president said: “This is nothing but loot of public money done in the name of supply management.”
Possibility of Hike Still Abounds in Petrol Prices (Expected)
The government’s new deregulation policy will not help the commoner. It’s because it’s is already struggling against rising prices, With a 17% increase in sales tax and further hike in petroleum price, which has now reached Rs 50 per liter in Pakistan. It’s only going to get harder for people on fixed incomes like pensioners and salaried employees to make ends meet.
Current Petrol Prices
The price of unleaded petrol has been raised by 2.07 rupees per liter, bringing the new rate to 235.98 from 233.91. Meanwhile, high-speed diesel is now priced at 247.43 instead of 244 .44 earlier this month.
Moreover, the new rate of kerosene oil is Rs. 210.32 from its previous rate of 199.40. The jump of 10.92 was increased by eight paisa per liter in Andhra Pradesh, West Bengal, and Tamil Nadu due to the VAT hike implemented last month. Still, it’s comparatively lesser than Sindh, where 15 paise has been added as there wasn’t any tax revision before this government decision.
The Finance Division has announced that the new prices will take effect on September 1, 2022.
What are your thoughts on the proposed policy to make POL products more regular? Feel free to chime in by leaving a comment below.