Govt announces Rs10 per litre cut in petrol price

• High-speed diesel reduced from Rs262.75 to Rs249.69.
• Higher fuel prices significantly impact budgets.
• High-speed diesel particularly contributes to the increased prices of vegetable.

The government has announced a Rs10 per litre cut in the price of petrol owing to a drop in fuel rates in the international market during the past fortnight. 

"The Oil and Gas regulatory Authority (Ogra) has worked out the consumer prices of petroleum products, based on the price variations in the international market," a statement released by the Finance Division on Sunday night read. 

The government also reduced price of high-speed diesel (HSD) from Rs262.75 to Rs249.69 after a reduction of Rs13.06 per litre. 

The new prices will be effective from midnight. 

 The latest change in prices comes as the fourth consecutive price cut in two months.

In the last fortnightly review, the federal government had slashed the price of petrol by Rs1.86 per litre, from Rs260.96 to Rs259.10 per litre.

Petrol is mainly used in private transportation, small vehicles, rickshaws, and two-wheelers. Higher fuel prices significantly impact the budgets of the members of the middle and lower-middle classes, who primarily consume petrol for commuting. On the other hand, a significant portion of the transport sector relies on high-speed diesel.

Its price is considered inflationary since it is predominantly used in heavy goods transport vehicles, trucks, buses, trains, and agricultural machinery such as tractors, tube wells, and threshers.

The consumption of high-speed diesel particularly contributes to the increased prices of vegetables and other food items.