ISLAMABAD: As the global oil market trends upward, the prices of high-speed diesel (HSD), kerosene, and light diesel oil (LDO) are expected to increase by approximately Rs4 to Rs5 per litre starting New Year’s Eve. This adjustment will apply for the first fortnight of 2025, according to informed sources.
Conversely, petrol prices are projected to remain relatively stable, with a potential change of just Re1 per litre, depending on final calculations on December 31.
Earlier in mid-December, the ex-depot price of HSD was reduced by Rs3.05 (1.18%) to Rs255.38 per litre, while petrol prices remained steady. However, recent data indicates a slight rise in international prices for HSD and LDO, alongside a marginal increase in the ex-refinery cost of kerosene oil. Import premiums and exchange rates have largely remained stable.
As of December 28, estimates point to a Rs4 per litre hike in HSD and a Rs5 per litre increase in kerosene and LDO. Meanwhile, petrol prices are expected to see minimal fluctuation, potentially adjusted within the inland freight equalisation margin to ensure uniform rates across the country.
Currently, the ex-depot price for petrol stands at Rs252.10 per litre, while HSD is priced at Rs255.38 per litre.
Petrol, predominantly used in private transport, small vehicles, rickshaws, and two-wheelers, directly impacts the budgets of middle- and lower-income households. Meanwhile, HSD, widely utilized in heavy transport vehicles, trains, and agricultural machinery such as tube wells and threshers, is a key inflation driver, significantly affecting the cost of food and essential goods.
The government presently imposes a tax of around Rs76 per litre on both petrol and HSD.
Story by Khaleeq Kiani
