ISLAMABAD: The Oil and Gas Regulatory Authority (Ogra) has recommended a reduction in petroleum prices by up to 13.5 per cent, keeping in line with the declining global trend in oil markets.
The summary by Ogra has been forwarded to the Petroleum Division and will be further vetted by the finance ministry, but the final decision will be taken by the prime minister on Monday.
The regulatory authority has suggested that prices of petrol be reduced by Rs9.50 per litre (10pc) to Rs86.33, kerosene oil by Rs0.25 to Rs83.25 and light diesel oil (LDO) by Rs2 to Rs7.44 per litre for January 2019.
Meanwhile, for high speed diesel (HSD) – used in trucks and buses etc – a decrease of Rs15 per litre (13.5pc) has been recommended, which would take the new rate to Rs95.94. from existing Rs110.94 per litre.
Apart from these, aviation fuels are likely to be reduced too. The decrease in prices of petroleum products would also lead to a decline in the 17pc general
sales tax (GST) levied at them.
The recommendations of the regulator are based on the drop in crude oil prices and petroleum fuel in the international markets.