OGRA recommends cutting Rs20 per litre in petrol prices from May

KARACHI: The Oil and Gas Regulatory Authority (OGRA) has recommended cutting Rs20.68 per litre for petrol from tomorrow.

According to an official, Ogra has sent its summary to the energy ministry’s petroleum division, which will then forward it to the finance ministry for approval. The government will decide the price revision today.

If the report gets approved the petrol prices will be sold at Rs75.9. The summary also recommended reducing the price of high-speed diesel (HSD) by Rs33.94. which, if subject to approval, will be sold for Rs73.31.

The highest cut of Rs44.7 is proposed in kerosene oil which will be available for Rs33.38 subject to approval. Light diesel price is likely to record a cut of Rs27.54 to be sold at Rs37.94 a litre.

There is a glut of oil, as supply is high while demand is much low due to COVID-19, because of that  the prices have touched even negative this month. This month, the crude price even touched minus $54/barrel.

Pakistan is a net importer of petroleum products and meets almost 85 percent of its needs through imports. The rupee depreciation has played a key role in increasing petroleum product prices, which has fuelled inflation in the country.