Petroleum product prices are expected to fall by up to Rs15 from October 1 due to a substantial drop in POL rates in international markets, industry experts said on Tuesday.
According to estimations calculated by oil industry experts, diesel prices may be reduced by Rs15. Petrol prices may be reduced by Rs5 during the next two weeks, according to sources.
They stated that the new price would be determined based on the price of oil in international markets until September 29.
“IF THE GOVERNMENT CHOSE TO MAINTAIN THE PETROLEUM LEVY AT THE CURRENT RATIO THEN THE POL PRICES WILL DECLINE,” THEY ADDED.
The government is required to collect a tax on petroleum goods under an agreement with the International Monetary Fund (IMF). According to a September 1 notification, the petroleum duty on petrol is Rs37.50 per liter and on diesel, it is Rs7.50 per liter.
Current POL prices
The government increased the price of petrol from Rs235.98 to Rs237.43 on September 21. It kept the price of High-Speed Diesel (HSD) unchanged at Rs247.43.
The price of kerosene slashed by Rs8.30 from Rs210.32 to Rs202.02. The price of light diesel oil was reduced by Rs 4.26 from Rs201.54 to Rs197.28.