The government is likely to keep the oil prices unchanged for the next month due to slight increase in oil prices in international market. Sources told Business Recorder that Petroleum Ministry has worked out the impact of rise in global oil prices.
In a summary prepared to be presented before the Prime Minister for approval it has noted that average crude oil price had jumped up to $45 per barrel during the current month that stood at $40 per barrel last month. They said that according to Ministry working, the slight increase in global oil prices had resulted in hike of Rs 4-6 per litre in different petroleum products in Pakistan.
They said that due to global oil prices hike, the government had faced shortfall of Rs 5 billion in Petroleum Development Levy (PDL) collection during the current month. The government had anticipated Rs 17 billion PDL collection during the current month, which declined to Rs 12 billion due to increase in global oil prices.
The ministry has worked out different options regarding oil prices, which include ''No change'' in oil prices for the coming month of Feberuary. However, Prime Minister Yousuf Raza Gilani would give the decision, sources said, adding that Rs 2-3 per litre reduction in oil prices has also been proposed in the summary, which the government would have to cut from PDL, if passed on to the consumers.
The government has also made commitment with the World Bank to collect Rs 30 billion PDL on petroleum products during the quarter January-March 2009 for future lending. Earlier, the government had anticipated Rs 49.5 billion PDL collection in the said quarter, and the government would have to keep in mind World Bank commitment of Rs 30 billion PDL collection in three months if it passed on some relief to the consumers, sources added.