Any step to increase POL prices may trap govt
The Nawaz government is likely to increase the petroleum products prices up to Rs 3.60 per liter from January 1, 2014. However, Oil ad Gas Regulatory Authority (Ogra) has recommended to the government not to increase the POL prices and maintain the prices at existing level. The political pundits are saying if the prices of POL prices get increases, the ongoing protest rallies against inflation will gain momentum. Any decision to increase POL prices will be a hard nut to crack for the government.
And in case the government does no show willingness to reduce the petroleum levy on petroleum products, then a new wave of surge in ongoing inflation which is already in double digit would again hit 180 million countrymen.
In case of no reduction in petroleum levy, the price of petrol (motor gasoline) is to increase by Rs 2.91 per liter and HOBC ( high octane blending component) will go up by Rs 3.60 per liter. The rice of high speed diesel (HSD) is to increase by Rs 2.36 per liter, kerosene oil Rs 1.38 per liter, and light diesel oil Rs 1.80 per liter. However, the final decision will be made by rime Minister Mian Mohammad Nawaz Sharif.
The chief executive of the country, the official said, may not increase the POL products prices keeping in view the double digit inflation that has virtually made the lives of masses miserable.