The Finance Division on Thursday announced a reduction in the prices of all fuel products for the next two weeks, with the new tariffs to go into effect from Dec. 16.
Announcing the decision in a press conference, Finance Minister Ishaq Dar said the price of petrol had been reduced by Rs. 10/liter to Rs. 214.8/liter; high-speed diesel by Rs. 7.5/liter to Rs. 227.8/liter; kerosene oil by Rs. 10/liter to Rs. 171.83/liter; and light-diesel oil by Rs. 10/liter to Rs. 169/liter.
This is the first change to petrol prices since mid-October, while both kerosene oil and light-diesel oil had been slashed on Nov. 30. The government has not yet provided a breakdown of the new prices, so it is unclear how much of it reflects global oil tariffs, general sales tax (GST) and petroleum development levy (PDL). The government’s commitment to the International Monetary Fund (IMF) calls for GST to be imposed after PDL of Rs. 50/liter has been imposed on each petroleum product.
According to earlier statements, the government is already charging PDL of Rs. 50/liter on petrol; Rs. 25/liter on high-speed diesel; Rs. 7.01/liter on kerosene oil; and Rs. 15.39/liter on light-diesel oil.