Government Announces Reduction In Diesel And Petrol Prices

According to a notice released here, the federal government has greatly reduced the price of fuel and diesel, announcing the updated rates for the upcoming two weeks. The price of petrol has been lowered by (Rs 0.50 per litre, to Rs 255.63 per litre), and the price of diesel with high speed has also been lowered by (Rs 5.31 per litre, to Rs 258.64 per litre).

Furthermore, the cost of one litre of kerosene oil has dropped by (Rs 3.53 to Rs 168.12). These modifications are a part of routine fuel price adjustments that are impacted by both domestic and global market movements.

As markets prepared for Washington’s new tariffs and Iraq’s decision to begin oil shipments from the Kurdistan area, oil prices dropped more than (1%) on Friday 28th of Feb and were on track for their first monthly decline since November.

Crude Oil Also Affected

On the other side Investor mood was also affected by uncertainty about OPEC’s plans to resume production in April and the continuing negotiations to settle the conflict in Ukraine.

Also Read: Aurangzeb Hints At Possible Tax Relief for Salaried Class

By {11:57 EST (1657 GMT)}, the generally active May Brent crude futures dropped (82 cents, or 1.11%, to $72.75)_ a barrel. West Texas Intermediate oil futures for the United States were down (62 cents, or 0.88%, at $69.73) a barrel.

While Pakistan Petroleum Dealers Association has opposed the federal government’s recent plans to deregulate the prices of petroleum products. The group warned that deregulation would promote the sale of illegal Iranian oil and non-standard fuel in the nation in a letter to Minister for Petroleum Musadik Malik.

Deregulation, according to the group, would put at risk the billions of dollars that petroleum dealers have spent in the industry. They underlined that, as was previously decided, stakeholders should be consulted before making any decisions.

Oil marketing companies (OMCs) would be able to expand their market share by selling fuel at competitive rates under the strategy that has been suggested. The establishment of a price limit would guarantee price stability. In an effort to lower gasoline prices, the government also intends to allow oil refineries to include up to (5%) ethanol into petroleum products. In order to resolve their concerns, the Pakistan Petroleum Dealers Association has asked the minister to hold discussions with them.