ISLAMABAD: The Oil and Gas Regulatory Authority (Ogra) issued a public statement that urged to avoid speculations regarding petroleum product prices. Apparently, the statement responded to the comments by two caretaker federal ministers, who hinted at a decrease in petroleum prices after the fortnightly review (scheduled on September 30).
The hints at price reductions came from caretaker Commerce Minister Gohar Ejaz & caretaker Information Minister Murtaza Solangi. The forecast by the caretaker minister might be based on the improvement in the value of rupee. In the interbank market, the rupee appreciated by Rs16.24 against the dollar.
However, Ogra stated that the international market prices and exchange rates determine petroleum product prices. It added that there could be an offset in relief as the international prices surged recently.
According to news sources, the exchange rate is slowly coming down, but there is also a factor of outstanding adjustments to oil marketing companies. Hence, prices could go either way in the next five days. Caretaker Petroleum Minister Muhammad Ali also said it was premature to predict prices.
Recently, the government increased the petroleum prices by Rs26 per litre due to high financing costs, dwindling foreign exchange and cash flow constraints. By September 15, petrol prices hiked by Rs58.43 and high-speed diesel (HSD) prices surged by Rs55.83 per litre.