ISLAMABAD - The Oil and Gas Regulatory Authority (Ogra) has Tuesday recommended an increase of up to Rs 10.50 per litre in the prices of various Petroleum Oil Lubricants (POL) products for the last fortnightly of September 2021.

In a summary moved to Petroleum Division Ogra has recommended increase in the prices of all the major petroleum products including petrol, high speed diesel (HSD), kerosene oil (SKO) and light diesel oil (LDO).Ogra has recommended an increase of Rs 1 per litre in the price of petrol, Rs 10.5 per litre in HSD, and Rs 5.5 per litre each in the prices of kerosene oil and light diesel oil (LDO) for the second fortnightly of September (September 16 to September 30).

It is worth to mention that for the first fortnightly of the current month,  the government had rejected the Ogra summary for up to Rs5.11 per litre decrease in the POL prices and instead announced nominal decrease in the oil prices. Instead of passing on the entire relief to the consumers, the government had increased petroleum levy on petrol and HSD by Rs2.11 per litre and Rs3.09 per litre respectively. Petrol is used in cars and motorbikes and its existing price is Rs118.30 per litre. High speed diesel is widely used in agriculture and transport sectors and its existing price is Rs 115.03 per litre. Kerosene oil is used in remote areas for cooking purpose where liquefied petroleum gas (LPG) is not available and its existing price is Rs86.80 per litre. The price of light diesel oil is Rs84.77 per litre.

Currently, the government is charging 10 percent custom duty and 10.54 percent General Tax on petrol. The government has also imposed Rs2.09 per litre petroleum levy on petrol. Besides, Rs 4.15 inland freight margin, Rs2.97 oil marketing companies (OMCs) margin and Rs3.91 dealer commission is being charged on per litre of petrol. Similarly, the government is charging 10 percent custom duty on HSD and 17 percent general tax. The government is also charging Rs5.14 per litre petroleum levy on HSD at present. Besides, Rs1.59 inland freight margin, Rs2.97 OMCs margin and Rs3.30 dealer commission is being charged on per litre of HSD. The new prices of petroleum products will be announced today (Wednesday) after the approval of the prime minister and it will be effective from September 16, 2021 to September 30.