In light of oil prices reaching $85 per barrel in international markets, Ogra has also recommended reducing local prices of petroleum and other related products.

Ogra has recommended that a reduction of Rs5.02 in petroleum prices be implemented July 1, 2012 onwards.

The request for reduction in oil prices has been forwarded to the federal petroleum ministry, as stated by officials. Officials further stated that unless the Finance ministry levies additional taxes on petroleum products, the price of petrol would reach Rs84.90 per litre from July 1.

Additionally, Ogra has recommended a Rs2.48 deduction in the price of high speed diesel and Rs2.54 in the price of kerosene. If implemented, the price of HSD and kerosene would be reduced to Rs97.21 per litre and Rs86.25 per litre respectively.

Accordingly, reduction in the price Light Diesel Oil is recommended at Rs2.86 per litre, while the highest reduction is kept for high-octane, which is Rs6.44.

The decision and notification on revised oil and gas prices would be announced on June 30, 2012, in line with next price-setting session.