The Government on Friday slightly increased the price of gasoline in RE1 per liter and that of high speed diesel (HSD) per RS7 for the next fortnight.
A press release from the Finance Division said that the new prices were decided after Ogra reviewed and adjusted the consumer prices of oil products given “recent fluctuations in the international oil market.”
The new gasoline price is RS257.13 and HSD is RS267.95.
No change in light diesel oil prices and kerosene oil were mentioned.
The informed sources had previously said that the price of ex-Depot gasoline was estimated at RS2-3 per liter depending on today’s final calculation. It was estimated that the prices of kerosene and diesel would increase in approximately RS6 per liter.
Estimates were based on the upward trend in the international market. Brent prices have increased by up to $ 2 per barrel the last fortnight.
These sources said that HSD’s average prices increased by more than $ 2.50 per barrel in the international market, while gasoline increased by approximately 50 cents per barrel last fortnight. The exhore refinery cost also increased. The import premium on gasoline increased by about 40 cents to $ 8.84 per barrel, while remained unchanged in the diesel. The exchange rate also generally remained stable.
As a result, the last calculation as of January 29 showed an increase of around RS5 to RS6 per liter both in HSD and in Queroseno and around RS2-2.50 per liter in gasoline.
The Ex-Depot gasoline price is RS256.13 and HSD RS260.95 per liter. The official Kerosene rate is RS169.25 per liter, but it is rarely available at this market rate.
Gasoline is mainly used in private transport, small vehicles, Rickshaws and two -wheeled vehicles, and directly affects the budget of the middle and lower classes.
The majority of the transport sector works with HSD. Its price is considered inflationary, since it is mainly used in heavy transport vehicles, trains and agricultural motors such as trucks, buses, tractors, wells and tubing trillators and, in particular, increases the prices of vegetables and other grocery.
Currently, the government is charging around RS76 per liter of gasoline and HSD tax. Although the General Sales Tax is zero in all oil products, the Government charges RS60 per liter PDL in both products, which generally affects the masses.
The government also charges around RS16 per liter of customs duty on gasoline and HSD, regardless of local production or imports. In addition, around RS17 per liter of distribution and sales margins are charged by oil companies and their distributors in both products.
