Metro53 - ISLAMABAD: The government on Saturday announced a massive increase of Rs55 per litre in the prices of petrol and high-speed diesel amid rising global oil prices and regional tensions.
Federal Minister for Petroleum Ali Pervaiz Malik, addressing a press conference along with Deputy Prime Minister Ishaq Dar and Finance Minister Muhammad Aurangzeb, said the new prices would take effect from midnight tonight.
Following the increase, the price of petrol has been fixed at Rs321.17 per litre, while high-speed diesel will cost Rs335.86 per litre.
Mr Malik said the country was passing through “extraordinary circumstances,” adding that the situation developing in the region had affected the entire area and contributed to the surge in international petroleum prices.
He said the government had already increased its petroleum reserves in view of the emerging situation and was trying to manage the crisis through a careful and strategic approach.
The petroleum minister warned that strict action would be taken against profiteers, saying Prime Minister Shehbaz Sharif had taken serious notice of illegal profiteering. He added that the decision to raise prices had been taken under compulsion.
Mr Malik further said Pakistan had also contacted Saudi Arabia to explore alternative arrangements for petroleum supplies, noting that oil prices had risen sharply across the world.
Earlier, Deputy Prime Minister Ishaq Dar said the region was facing a war-like situation and petroleum prices were “touching the sky” in international markets, which had become a matter of concern for the government.
He said Prime Minister Shehbaz Sharif personally chaired a meeting earlier in the day to review the situation. The meeting was attended by the petroleum and finance ministers, officials of the Oil and Gas Regulatory Authority (Ogra) and other relevant authorities.
Mr Dar said the government had to decide how much increase was unavoidable while trying to maintain a balanced approach. He added that Pakistan had also been in contact with foreign ministers of several countries in an effort to help reduce tensions in the region.
He said the prime minister and military leadership were also in touch with their counterparts abroad and the situation was being reviewed daily as international oil prices continued to rise sharply.
Finance Minister Muhammad Aurangzeb said the government was also assessing the potential impact of the price increase on imports and exports. He assured that Pakistan currently had adequate petroleum reserves and there was no need for public panic.
He added that the government would formulate its strategy according to the evolving situation and the prime minister had directed that consultations be held with all four chief ministers.
Earlier, an increase in petroleum prices had been anticipated due to the tense situation in the Middle East and rising global oil rates.
Separately, a meeting chaired by Deputy Prime Minister Ishaq Dar approved a proposal to introduce weekly adjustments in petroleum prices. Officials from the petroleum ministry, Ogra, Parco, and other departments briefed the participants about the country’s existing petroleum reserves.
