The Oil and Gas Regulatory Authority (OGRA) on Monday night revised petroleum products prices as part of the daily price fixation mechanism to ensure transparency and allow the immediate impact of international price fluctuations to be passed on to consumers.
The daily pricing is based on a seven-day weekly average of international market prices to align with international standards, according to Petroleum Minister Ali Pervaiz Malik. The latest price, per OGRA, would be applicable for Aug. 4 (Tuesday).
The latest price revision has decreased the price of petrol by Rs. 4.08/liter, from Rs. 336.03/liter to Rs. 331.95/liter. Similarly, the price of high-speed diesel has been decreased by Rs. 2.45/liter, from Rs. 392.38/liter to Rs. 389.93/liter. OGRA has also reduced the price of kerosene oil by Rs. 3.58/liter, taking it from Rs. 305.22/liter to Rs. 301.64/liter.
The government continues to levy Rs. 110/liter in taxes and duties on petrol and Rs. 96/liter on diesel.
The government switched to a daily price fixation mechanism last month amidst renewed hostilities between Iran and the United States. Previously, the petroleum rates were revised fortnightly.
Petrol is mainly used in private transport, and changes in its price can affect the middle and lower-middle classes, who use it for their daily commute. Changes to diesel prices, meanwhile, impact the general public, as it can prove inflationary due to its use in the transport sector.