Islamabad: The Oil and Gas Regulatory Authority (Ogra) Tuesday worked out massive increase in the prices of petroleum products with effect from September 16.

On the basis of current rates of general sale tax (GST) and petroleum levy (PL), the oil and gas regulator recommended Rs10 per litre in the ex-depot price of high speed diesel (HSD) in its fortnightly review. The regulator further recommended Re1 per litre in the price of petrol.

It further recommended increasing the prices of kerosene oil (SKO) and light speed diesel (LDO) by Rs5.50 per litre.

The petroleum levy on petrol is fixed at Rs2.11 per litre on petrol, Rs5.14 per litre on HSD, Rs2.06 on SKO, Rs1.51 per litre on LDO, and Rs30 per litre on HOBC.

Presently, the Federal Board of Revenue (FBR) is charging 10.54 percent sales tax on petrol, high speed diesel 17 percent, kerosene 6.70 percent, and sales tax on light diesel oil is 0.20 percent.

POL products: Ogra works out 'substantial' decrease in prices

In case, the government approved price hike for second half of September, the price of petrol will go up to Rs119.30 per litre from Rs118.30 per litre.

The price of HSD will also go up to Rs125.03 from Rs115.03 per litre.

The price of SKO will increase to Rs92.30 per litre from Rs86.80 per litre.

The LDO price will be Rs90.27 per litre from Rs84.77 per litre.

The final decision will be announced by the federal government, on Wednesday, by adjusting its taxes and PL rates.

Copyright Business Recorder, 2021