Will petrol price in Pakistan drop by Rs100 after import?

1685110668 Will petrol price in Pakistan drop by Rs100 after import
A person fills their cars tank at a fuel station in this undated file image. — AFP
An individual fills their automobile’s tank at a gasoline station on this undated file picture. — AFP

After months of hype, Pakistan could lastly obtain its first cargo of imported Russian oil later this month. However the majority of Pakistanis have one query, will the purportedly cheaper Russian oil scale back the gasoline value within the nation by Rs100 per litre?

This query was posed to Minister for Planning, Improvement and Particular Initiatives Ahsan Iqbal in a current interview with Voice of America (Urdu).

When requested whether or not the worth of petrol — which had reached a file excessive of Rs282 per litre and at the moment stands at Rs272 per litre — could be slashed by Rs100 as soon as Russian oil reached Pakistan, the minister responded within the adverse.

“There may not be a major distinction,” he stated. Nonetheless, the worth would “undoubtedly scale back” as soon as Pakistan began importing giant portions of Russian oil, he added.

“Initially, the amount of imported oil is small, however because it will increase in six months to a yr, it can assist scale back petrol costs,” Iqbal stated.

Pakistan and Russia had been negotiating an oil deal for months earlier than reaching an settlement in April.

The primary cargo of Russian oil is anticipated to dock on the Karachi port in late Might, State Minister for Petroleum Mussadik Malik had stated final month. The nation would search to import 100,000 barrels per day (bpd) of Russian crude oil if the primary transaction went easily, he had added.

Initially, the Pakistan Refinery Restricted (PRL) would refine the crude oil in a trial run, to be adopted later by Pak-Arab Refinery Restricted (PARCO) and different refineries.

A day earlier, Malik shared that Pakistan plans to import one-third of the nation’s whole crude oil necessities from Russia.

The state minister revealed that the federal government has finalised a complete vitality safety settlement with Russia, which might cowl totally different points of the vitality provide within the nation.

Malik stated: “We need to open an vitality hall with Central Asia just like the one now we have with Gulf nations.”

“This would cut back the price of vitality within the nation and could be useful within the growth of commercial clusters and worth additions within the agriculture sector,” he maintained.

The minister revealed that the federal government’s goal is to import 18-20% of its whole crude oil imports from Russia, with the hope that this transfer will considerably decrease petroleum product costs for home shoppers.