The federal government has hiked the price of petrol by Rs3.72 per litre for the next fortnight, starting from December 1.
As per the latest notification by the Finance Division, the petrol price has been increased from Rs248.38 to Rs252.10 per litre.
The federal government also increased the price of high-speed diesel (HSD) from Rs255.14 per litre to Rs258.43 after a increase of Rs3.29.
The notification said that the Oil & Gas Regulatory Authority (Ogra) has worked out the consumer prices of petroleum products based on the price variation in the international market.
In the previous fortnightly review, the federal government maintained the prices of petrol and diesel based on the price trends in the international market.
Petrol is mainly used in private transportation, small vehicles, rickshaws, and two-wheelers. Higher fuel prices significantly impact the budgets of the members of the middle and lower-middle classes, who primarily consume petrol for commuting. On the other hand, a significant portion of the transport sector relies on high-speed diesel.
Its price is considered inflationary since it is predominantly used in heavy goods transport vehicles, trucks, buses, trains, and agricultural machinery such as tractors, tube wells, and threshers.
The consumption of high-speed diesel particularly contributes to the increased prices of vegetables and other food items.