ISLAMABAD – Keeping with its iniquitous record of sheer indifference to the masses, the government Saturday dropped yet another inflation bomb by making record increase in oil and CNG prices – up to Rs8.94 per litre and Rs11.57 per kilogram respectively.

Oil and Gas Regulatory Authority (Ogra) issued separate notifications of hike in oil and CNG prices to be effective from today (Sunday). The government raised per litre price of petrol by Rs8.02, high speed diesel (HSD) Rs4.70, kerosene oil Rs5.29, high octane blending component (HOBC) Rs8.94 and light diesel oil (LDO) by Rs5.45 per litre. The price of petrol has thus jumped up to Rs105.68 per litre from Rs97.66, LDO Rs98.74 from Rs93.29, kerosene oil Rs101.96 from Rs96.40, HOBC Rs135.81 from 126.87 and HSD to Rs108.16 from Rs103.46. The government had decided to keep price of HSD unchanged till June 2012 but it too has been increased, against the decision taken by special parliamentary body on oil pricing. CNG price has been increased by Rs11.57 per kg in Region-1 and by Rs9.93 in Region-2. Thus the price has been increased from Rs77.13 per kg to Rs88.70 per kg in KPK, Balochistan and Potohar Region (Rawalpindi, Islamabad and Gujar Khan) and form Rs71.05 per kg to 80.98 per kg in Sindh and Punjab (excluding Potohar Region). The government has imposed 20 per cent Gas Infrastructure Development Cess (GIDC) on CNG in a bid to collect revenue for gas pipeline projects including IP and TAPI. The price of CNG has also been brought at 55 per cent parity of petrol. Earlier, CNG price was at 53 per cent parity of petrol. Ogra authorities said that it was decision of federal government to raise prices of CNG and it had not sent any advice to the government.

In January the government raised the price of petrol by Rs5.37 per litre, high speed diesel by Rs4.64 per litre, high octane blending component by Rs6.29, kerosene oil by Rs2.78 and light diesel oil by Rs3.43 in line with global oil prices. In February, price of petrol was increased by Rs2.75 per litre, HOBC by Rs8.67, kerosene oil by Rs4.38, HSDO by Rs2.82 and LDO by Rs3.08 per litre.