LAHORE: Prime Minister Muhammad Nawaz Sharif Saturday announced reduction in petroleum products prices with the petrol price declining by Rs 7.99 per litre.
Talking to the newsmen after passing out parade of the first batch of Counter Terrorism Force (CTF) here, the Prime Minister said effective from February 1, the price of high octane would slash by Rs 11.82 per litre and the Kerosene Oil by Rs 10.48 per litre.
He also announced reduction in the price of high speed diesel by Rs 5.62 per litre and light speed diesel by Rs 9.56 per litre.
The following prices will be effective from February 1.
Product Relief Old Price New Price
Petrol 7.99 78.28 70.29
HBOC 11.82 92.13 80.31
Kerosene Oil 10.48 71.92 61.44
Light Speed Diesel 9.56 67.50 57.94
High Speed Diesel 5.62 86.23 80.61
The Prime Minister told media that prices of the petroleum products could have been reduced further, but the government had to retain five percent duty to reduce the impact on the sales tax target affected by the decline in oil prices.
He said the decline in oil prices had an implication of Rs 68 billion on the government, but the five percent duty would help reduce it by Rs 28 billion.
He said the government would retain Rs 2.76 on petrol, Rs 3.16 on HOBC, Rs 2.42 on kerosene oil, Rs 3.18 on HSD and Rs 2.28 on LSD.
The Prime Minister said the petrol price on August 31 last stood at Rs 110.97 that had been reduced to Rs 70.29, HOBC from Rs 134.63 to Rs 80.31, Kerosene oil from Rs 97.05 to Rs 61.44, HSD from Rs 109.34 to Rs 80.61 and LSD from Rs 93.27 to Rs 57.94.
He said during the previous governments, the benefit of reduction in oil prices was not transferred to the public and prayed that these prices do not increase again, for benefit of the poor countries.
He said owing to reduced oil prices, the rates of eatables had also come down, though the transport fares could not be brought down to that extent.
He also advised the provinces to pass on the benefit of this reduction to the consumers, adding some matters fell under the purview of provincial governments.
He said decline in petroleum prices would greatly benefit the agriculture community by reducing the cost of their inputs by thousands of rupees per acre and advised them to increase their yield for benefit of the consumers.
To a question about the recent shortage of petrol, the Prime Minister said the government would take the matter to its logical end and action would be taken against those responsible.
He said other than the issues related to Pakistan State Oil (PSO) and National Savings, some vested interests could also be behind the crisis.
He said media reporting on the issue also created panic among the people who thronged the filling stations but the situation improved within two to three days.
Responding to a question, the Prime Minister said both Pakistan and Afghanistan were adhering to the commitments made during the visit of Afghan President.
If both the countries remained stuck to these commitments, the terrorists would find no safe haven in these two countries as well as the region.
About the judicial commission to probe alleged poll rigging,
the Prime Minister said the government left no stone unturned and offered everything in this regard.
He said despite reopening of polling bags, the party could prove no rigging as the lead was still intact.
The Prime Minister said the government believed in transparency and recruitment in the CTF had been made purely on merit.
He said working of the institutions was undermined by the recruitment on nepotism.