Latest news with #InlandFreightEqualizationMargin
Business Recorder
2 days ago
- Business
- Business Recorder
PSO exchange rate adjustment led to HSD price hike
ISLAMABAD: High-speed diesel (HSD) prices have risen by Rs11.37 per litre for July 16-31, 2025 fortnight. This increase is largely attributed to an exchange rate adjustment granted to Pakistan State Oil (PSO) while petroleum levy (PL) and climate support levy (CSL) have been kept unchanged. According to the documents, PSO exchange rate adjustment accounts for approximately Rs6.90 per litre of this hike, which constitutes about 60 percent of the total increase. Fuel prices likely to increase Other factors which attributed to price hike are the Inland Freight Equalization Margin (IFEM) on HSD which has also jumped to Rs6.04 per litre, a significant increase from Rs2.09 per litre in the previous fortnight. The ex-refinery price of HSD has climbed by Rs7.5 per litre, moving from Rs177.24 to Rs184.79 per litre. For petrol, several adjustments have led to price increases. Pakistan State Oil (PSO) exchange rate is set at Rs1.22 per litre, while the average Platts with incidentals and duty has increased by Rs2.21 to Rs167.51. The Inland Freight Equalization Margin on petrol is now Rs8.89, a rise of Rs1.93 per litre. The ex-refinery rate for petrol has increased by Rs3.43 per litre, moving from Rs165.30 to Rs168.73 per litre. Carbon levy on both petroleum products (petrol/HSD) is unchanged at Rs2.50 per litre. Petroleum levy on petrol is kept unchanged at Rs75.52 per litre and HSD Rs74.51 per litre. Premium on petrol has been fixed at 9.608 per bbl and $3.250 per bbl on HSD. According to a notification issued by the Finance Division late Tuesday night, petrol price has been raised by Rs5.36 per litre, while diesel has been increased by Rs11.37 per litre. Copyright Business Recorder, 2025
Business Recorder
3 days ago
- Business
- Business Recorder
Petrol price up by Rs5.36, HSD's by Rs11.37
ISLAMABAD: The federal government announced a significant hike in petroleum product prices on Tuesday, effective for the fortnight beginning July 16, 2025. This increase will see consumers paying considerably more at the pump. In a statement, Finance Division announced that petrol is set to rise by Rs 5.36 per litre, bringing the new ex-depot price to Rs 272.15 per litre, up from Rs 266.79. High-Speed Diesel (HSD) will see an even steeper increase of Rs 11.37 per litre, raising its price from Rs 272.98 to Rs 284.35 per litre. This follows a previous price adjustment where petrol increased by Rs 8.36 per litre and HSD by Rs 10.39 per litre, primarily attributed to fluctuations in international crude oil prices. Interestingly, the Inland Freight Equalization Margin (IFEM) has been adjusted upward. For petrol, it's now fixed at Rs 8.89 per litre (up from Rs 6.96), and for HSD, it has also been up to Rs 6.04 per litre (from Rs 2.09). The government also kept petroleum levy unchanged on petrol at Rs 75.52 per litre and Rs 74.51 per litre on HSD. Copyright Business Recorder, 2025
Business Recorder
03-06-2025
- Business
- Business Recorder
Move to cushion PSO: Exchange rate losses adjusted into petrol prices
ISLAMABAD: To cushion Pakistan State Oil (PSO) against exchange rate losses, the federal government has adjusted its fortnightly petroleum pricing, effective June 1, 2025, by reducing the Inland Freight Equalization Margin (IFEM) and slightly increasing average of Platts with incidentals and duty. The federal government adjusted Rs2.17 per litre exchange rate losses into petrol prices which led to increase in petrol prices by Re1 per litre with effect from June 1 to 15. With a major importer, state-owned PSO has 55 percent share in total petroleum products. The Oil and Gas Regulatory Authority (OGRA) as a regulator takes PSO cost of supply to determine the fortnightly prices of petroleum products. As compared with previous fortnight (May 16-31), avg of platts with incidentals and duty reduced by 58 paisa from Rs150.46 to Rs151.04 per litre. The PSO exchange rate adjustment increased from Rs1.34 to Rs3.51 per litre. The IFEM has been brought down by Rs1.75 per litre from Rs6.30 to Rs4.55 per litre on petrol. The price of high-speed diesel (HSD) has kept unchanged by adjusting 0.05 paisa raise in ave of platts with incidentals and duty, 20 paisa increase in PSO exchange rate with 25 paisa reduction in IFEM. The petroleum levy (PL) on petrol and HSD has been kept unchanged at Rs78.02 per litre and Rs77.01 per litre. Copyright Business Recorder, 2025
Business Recorder
31-05-2025
- Business
- Business Recorder
Petrol price increased, diesel's unchanged
ISLAMABAD: The price of petrol has been increased by Rs 1.00 per litre to Rs 253.63, effective from June 1, 2025, as announced by the Finance Division on Saturday. However, the rate for high-speed diesel (HSD) will remain stable at Rs 254.64 per litre for the next two weeks. According to a late-night statement from the Finance Division, this adjustment follows the advice of the Oil and Gas Regulatory Authority (OGRA) and relevant government bodies. While the ex-refinery price of petrol is increased from Rs 151.80 to Rs 154.55 per litre, the government mitigated the full impact on consumers by significantly reducing the Inland Freight Equalization Margin (IFEM) from Rs 6.30 to Rs 4.55 per litre. The petroleum levy (PL) on both petrol (Rs 78.02 per litre) and HSD (Rs 77 per litre) remains unchanged. Additionally, the price of kerosene oil has seen a slight increase from Rs 250.14 to Rs 251.13 per litre. Copyright Business Recorder, 2025
