ISLAMABAD (Kashmir English): The petrol prices in Pakistan may get reduced from May 1 after global crude oil price seen a downward trajectory.
According to the details, the petroleum prices have seen an international fluctuation last week as Brent crude is trading at about $66.60 per barrel globally, while US West Texas Intermediate (WTI) crude is trading at $62.85 per barrel.
However, a 2.9% decline in prices is expected over the week, driven by a likely increase in production by OPEC+ and a potential ceasefire in the Russia-Ukraine conflict that could increase the global oil supply.
However, experts caution that the government’s recent move to abolish the Fifth Schedule, which previously capped the petroleum levy, may change the government’s decision to benefit the public.
Earlier, under the previous Fifth Schedule, the government was bound to increase the petroleum levy up to Rs 70 per litre. Now, the government has the authority to set the levy rate itself.
Diesel, Petrol Prices in Pakistan
On April 15, the federal government kept the petrol price unchanged for the next fortnight despite a decline in global oil prices.
Addressing a federal cabinet meeting, Prime Minister Shehbaz Sharif said that the government would allocate the savings to upgrade infrastructure and development projects in Balochistan.
“The government decided not to pass on the benefit of lower fuel prices in the international market to people. Savings from petroleum prices will be used to heal the nation’s wounds,” a statement issued by the Prime Minister’s Office said.
Despite the fall in global oil prices, the government chose to raise the petroleum levy instead of passing the savings onto the public. Currently, petrol is being sold at Rs254.63 per litre, while the price of high-speed diesel (HSD) stands at Rs258.64 per litre.
