ISLAMABAD, Nov 15: The government on Saturday announced a reduction of Rs10, Rs3 and Rs5 per litre in prices of petrol, diesel and kerosene, respectively. The move followed a sharp fall in international oil prices which have plunged to $50 a barrel after hitting a record $147 in July.

A notification of the Oil and Gas Regulatory Authority (Ogra) said that the government had reduced petrol (premium motor gasoline) price by 13.04 per cent and that of diesel by 4.68 per cent.

Now petrol will be sold at Rs66.66 a

litre and diesel (high speed) Rs61.14.

Price of light diesel oil (LDO) has been cut by Rs7 (11.67 per cent) a litre. LDO will now be sold at Rs53 a litre.

In order to give relief to people living in remote areas who are heavily dependent on kerosene for cooking and heating, the price of the commodity has been reduced by Rs5 a litre. After this cut of 8.08 per cent, a litre of kerosene will cost Rs56.87.

High octane blending component (HOBC) has seen a hefty decline of Rs15 a litre (15.62 per cent). The HOBC will now be sold at Rs81.08 a litre at retail as well as directly by oil companies to consumers.

Prices of petroleum products in Pakistan are linked to the international market and are reviewed by Ogra fortnightly.

On Nov 1, the government had announced a relief in petroleum prices for domestic consumers following a decline in crude oil prices in the international market.

But despite the latest decrease in prices of petroleum products, the government is still earning Rs28 per litre on petrol and Rs9 a litre on LDO by levying a tax called Petroleum Development Levy (PDL).

At present the government is not providing any subsidy on diesel oil and has earned around Rs12billion through PDL during the last fortnight, sources told Dawn.