The Government of Pakistan has been planning to raise the prices of petroleum products again, following a recent hike in electricity costs. Reports suggest a potential increase of Rs 4.50 per liter for gasoline, Rs 2.50 per liter for diesel, and Rs 2.92 per liter for kerosene. Light diesel oil prices are expected to remain unchanged. According to media reports, this news comes after Nepra (National Electric Power Regulatory Authority) approved a Rs 7.05 per unit increase in electricity prices to adjust for fuel costs. This move is expected to burden consumers with an additional Rs 66 billion. The government has attributed the upcoming fuel price increase to rising crude oil prices in the Brent market, currently at $82.52 per barrel. The final price adjustment will be announced by the Finance Minister after consultation with the Prime Minister. The new prices are expected to come into effect from March 1st, 2024, and remain applicable until March 15th. This news has sparked concerns about the potential impact on inflation, as Pakistanis are already grappling with rising costs across various goods and services. Both the electricity and fuel price hikes are likely to further strain household budgets, particularly for low-income and middle-class families.

Credit: Independent News Pakistan (INP)