Govt Announces Huge Increase in Petrol Price, Diesel Also Up

The federal government on Monday announced a significant increase in prices of petroleum products. According to a notification issued by the finance ministry, the price of petrol has been increased by Rs. 9.99 per liter to Rs. 275.60, while the price of high-speed diesel has been raised by Rs. 6.18 per liter to Rs. 283.63. The new prices will be applicable from July 16. In a brief statement, the ministry said that there will be no change in the applicable duties/levies, which will remain at the existing level. At the last fortnightly review of petroleum prices, the government increased the price of petrol by Rs. 7.45 per liter, while the price of high-speed diesel saw an increase of Rs. 9.56 per liter. The successive increase in prices of petrol and diesel is likely to fuel inflation as transportation costs would increase as a result.