ISLAMABAD -  The Oil and Gas Regulatory Authority (OGRA) on Thursday recommended the government up to 16.02 percent increase in the prices of PoL products, it is learnt reliably here.

Under its monthly price adjustment, OGRA has recommended, for January 2017, an increase of 0.47 percent or Rs0.31 per litre in the prices of Motor Spirit (Petrol). Similarly OGRA has advised an increase of 5.24 percent or Rs3.94 per litre in the prices of High Speed Diesel (HSD), 16.02 percent or Rs6.93 in the prices of Kerosene oil, 8.02 percent or Rs3.48 in the prices of Light Diesel Oil.

According to the summary moved to the Ministry of Petroleum and Natural Resources and the ministry of Finance, an increase of Rs0.31 per litre has been recommended in the prices of Motor Spirit (Petrol), after the increase the price of petrol will go up to Rs66.58 per liter from the current Rs66.27. After an increase of Rs3.94 per litre, the prices of the High Speed Diesel will go up to Rs79.16 from the current Rs75.22 per litre.

The prices of Kerosene Oil after the increase of Rs6.93 will go up to Rs50.18 per litre from the existing Rs43.25 per litre and the prices of Light Diesel Oil (LDO) will go up with the increase of Rs3.48 per litre from the existing Rs43.35 to Rs46.83.

Against the standard 17 percent GST, currently the government is collecting 31 percent GST on High Speed Diesel (HSD), 14.5 percent on Motor Spirit (Petrol), 17 percent on High Octane Blending Components (HOBC), 2.5 percent on Light Diesel Oil and 2 percent on Kerosene oil.

It is pertinent to mention here that, for December, OGRA gas recommended an increase of 6.2 percent or Rs4.01 per litre in the prices of Gasoline and an increase of 7.5 percent or Rs5.42 percent in the prices of High Speed Diesel.

Federal Finance Minister Senator Ishaq Dar, while announcing the government decision, said that the government will not pass on the total OGRA recommended increase of Rs4.01 and Rs5.42 in the prices of petrol and Diesel respectively to the consumers. The minister announced that the prices will be increased by Rs2 per liter and Rs2.7 per litre for petrol and Diesel respectively. The government will bear the remaining expense of Rs4 billion, he added.