The Oil and Gas Regulatory Authority (Ogra) has proposed a reduction of Rs7.06 per litre in the price of petrol for June 2020 in line with the dip in global crude oil prices due to virus-fuelled lockdowns.
However, the regulator has proposed a slight increase of Rs0.05 in the price of high-speed diesel (HSD) from Rs80.10 to Rs80.15 per litre, which is mainly used in transport and agriculture sectors.
The meagre increase in the HSD price may have no impact on the inflation rate, which will directly benefit the public. With the start of crop harvesting season, the demand for diesel has increased, prompting the government to lift the ban on imports.
Ogra has proposed that petrol prices should be slashed from Rs81.58 to Rs74.52 per litre for June 2020. The fuel is mainly used in cars and motorcycles.
The regulator has suggested a reduction of Rs11.88 in the price of kerosene oil from Rs47.44 to Rs35.56 per litre. Kerosene is used for cooking, especially in far-flung areas where liquefied petroleum gas (LPG) or pipeline gas is not available.In the price of light diesel oil (LDO), a reduction of Rs9.37 has been recommended from existing Rs47.51 to Rs38.14 per litre. LDO is used in industrial units.