ISLAMABAD - After decrease in petroleum prices in international market, the Oil and Gas Regulatory Authority (Ogra) is set to advise government to reduce the prices of petroleum products up to Rs9.88.

According to a worksheet developed by the Authority in consultation with Pakistan State Oil (PSO) on Monday, due to the slump in Arab Gulf the prices of HOBC have gone down by Rs9.88 per litre and high speed diesel by Rs7.16.

The sources rejected the opposition claims that after decrease in petroleum prices the per litre price should go down up to Rs15.

“We are buying from Arab states only, when there is any change in prices it affects us, this change can be monitored at Platz website,” he said, while elaborating the petroleum pricing mechanism.

“For monthly fuel price adjustment, we calculate that how much cargo PSO imported, what was import bill of landing, what were incidental charges and per barrel cost,” the official said, adding, “By calculating all these costs, the net cost is determined and the government taxes namely GST, petroleum levy dealer margin, OMC margin and transportation charges are added and a price is determined.”

“We will send this worksheet to the finance ministry, which will finally approve or amend the charges,” he explained.

“We calculate the changes throughout the month and in last days work out averages and send the proposals to finance ministry,” he concluded.