Further reduction in the prices of petroleum products: Nawaz
01 January, 2015
ISLAMABAD: Prime Minister Nawaz Sharif on Wednesday announced further reduction in the prices of petroleum products, which will be effective from 1 January 2015.
Addressing a news conference at the Parliament House, the prime minister said that petrol price was being reduced by Rs 6.25 per litre, that of HOBC by Rs 14.14, kerosene oil Rs 11.26, light diesel oil Rs 10.48 and high diesel oil by Rs 7.86 per litter. He said that security issue was the top priority of the government, however, "other plans" were also afoot to give relief to the people. The prime minister said that after reduction in petroleum products’ prices since August 1, 2014, the government has given Rs 400 billion benefit to the people.
The benefit, he said, had not only been given to motorists but those cultivating their lands through tubewells, transporters, industrialists and the common man was also reaping its benefits. The prime minister said the provincial governments should take steps to pass on its benefit to the masses. He said during the last four months (August 1,2014 to January 1,2015) prices of petroleum products had been reduced drastically, adding that during this period price of petrol has been reduced by Rs 29.69 per litre, kerosene oil Rs 25.13 rupees per litre, high speed diesel Rs 23.11, light speed diesel Rs 25.77, and high octane (HOBC) Rs 42.50.
Prime Minister Nawaz said that the government has faced a revenue loss of Rs 68 billion due to these steps, and by reducing its loss to some extent the government has increased levy on petroleum products by five percent, which would recover Rs 17 billion. The prime minister said that the government wanted to pass on the benefits to the masses and come up to their expectations. He said that no sales tax had been imposed on furnace oil and its price had been reduced from Rs 79,229 per tonne to Rs 43,015 per tonne since September 1, 2014 to January 1, 2015.
Prime Minister Nawaz Sharif recalled that in start of December he had announced reduction of Rs 2.32 per unit in prices of electricity but the announcement was differed due to Peshawar school tragedy. He said that government has initiated various projects to cope with the issue of shortage of gas and electricity, adding that he never said that the issue of electricity would be resolved in six months. He, however, assured that the issue of gas and electricity would be resolved during his tenure, which would be a great victory of Pakistan.