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Following the recent Rs.55 hike, consumers should prepare for another diesel and petrol price hike this weekend as global crude oil costs continue to climb at an unprecedented rate.
Last weekend, on March 6, Petroleum Minister Ali Pervaiz Malik announced an increase in the diesel and petrol prices due to the Middle East crisis, which had pushed international crude oil prices up at an unusual pace.
The last hike took petrol to Rs. 321.17 per litre and diesel to Rs. 335.86 per litre.
Weekly Price Revision Announced
Malik also announced that fuel prices will now be revised every week instead of every 15 days. The old system has been removed because oil prices in the international market are moving too quickly.
According to the minister, the weekly revision system will help pass the price difference on to consumers more quickly.
Another Diesel and Petrol Hike Expected This Weekend
Fuel prices will be revised again this weekend, possibly on Saturday night or Sunday.
With crude oil prices still moving higher, another increase in petrol and diesel prices looks imminent.
A price cut appears completely off the table at this stage; avoiding a hike would require the government to heavily subsidize fuel prices, a move that is impossible under the pressure of IMF conditions.
At the time of the last price hike, international crude oil prices averaged around $77-$83 per barrel . That increase pushed petrol to Rs. 321.17 and diesel to Rs. 335.86 .
Since that revision, crude oil has moved even higher and is now averaging around $95-$97 per barrel .
Read More: Reliable Cars to Survive Pakistan’s Fuel Crisis if Petrol Hits Rs. 380
Expected Price Jump: What the Calculations Say
According to rough market calculations driven by these new crude oil peaks, the next increase in diesel and petrol will be around:
Conservative Case: An increase of Rs. 15 to Rs. 20 per litre
Most Likely Case: An increase of Rs. 20 to Rs. 30 per litre
Aggressive Case: A worst-case surge of Rs. 30 to Rs. 35 per litre
These estimates include the likely impact of levies, taxes, and IFEM. However, these are still only estimates based on current average crude oil prices.
The final fuel prices will be officially announced by OGRA or the Petroleum Ministry this weekend, but they’ll be close to the above-mentioned figures.
Keep following PakWheels on Google News to stay up to date on fuel price updates and updates regarding oil supply in Pakistan.
