Due to a significant drop in crude oil prices in the global market, petrol prices in Pakistan are expected to decrease from August 1, 2024. However, there is no clue yet about how much decrease in the petrol and diesel prices the government is going to announce in the next week.
According to international media reports, crude oil prices fell nearly by two percent to a six-week low amid rising expectations of a cease-fire in Gaza and fears of decreasing demand in China.
Meanwhile, the federal government is preparing to transfer the authority of setting petroleum prices from the state to oil marketing companies.
Insiders revealed that Prime Minister Shehbaz Sharif has directed the government to cease its role in determining petroleum prices. As a result, Petroleum Minister Musadik Malik has convened a crucial meeting scheduled for tomorrow to discuss this transition.
The government plans to phase in the delegation of pricing authority to oil marketing companies.
The Chairman of the Oil and Gas Regulatory Authority (OGRA) has been tasked with evaluating the impacts of deregulating petroleum prices and developing a strategic framework. The final deregulation framework will be submitted to the prime minister for approval.
Sources indicate that petroleum dealers have expressed opposition to granting pricing authority to oil marketing companies, citing concerns about potential profiteering.
