ISLAMABAD: The Oil and Gas Regulatory Authority (OGRA) has recommended the government to increase the ex-depot prices of petroleum products owing to substantial increase in the Brent oil prices globally.

In a review of ex-depot oil prices for second half of March, the oil and gas regulator computed an increase of Rs5.50 per litre in petrol price. It also recommended an increase of Rs5.75 per litre prices of high-speed diesel (HSD).

A summary has also been forwarded to federal government for final decision. Finance Division will decide the new rates of petroleum products keeping view of taxes and petroleum levy.

OGRA has prepared its summary on the basis of the last notified prices of petroleum levy and 17 percent general sale tax. The levy on petrol is Rs12.65 per litre and Rs12.53 per litre on diesel.

Earlier, Prime Minister Imran Khan had rejected the OGRA proposal to jack up fuel rates from March 1 due to scheduled by-elections.

Special Assistant to the Prime Minister on Political Communication Dr Shahbaz Gill had tweeted that the OGRA recommended an increase in prices of petroleum products by up to Rs7 in first half March but the prime minister didn’t accept the proposal. The price of Brent oil recorded $69 per barrel on Friday against an average at $66.8 per barrel in last 15 days of February.

Copyright Business Recorder, 2021