‘Pakistan petroleum prices lowest in the region’
February 01, 2015
Speaking to media representatives, he said the ‘people friendly government’ of Pakistan Muslim League-Nawaz (PML N) was determined to work for the welfare of masses and passing on the benefits of decline in petrol prices in international market to them despite economic troubles.
The information minister said that the government had put the economy on right track during the past 17 months. The federal government had written to the provinces to reduce prices of essential commodities so that the people could benefit from the improved economy.
For providing cheap electricity the prices of furnace oil had not been increased on the special instructions of Prime Minister Nawaz Sharif.
Giving international comparison of oil prices, he said in Australia one litre of petrol was being sold at Rs91.2, Germany Rs144.2, France Rs145.27, United Kingdom Rs162.80, Turkey Rs172.40, Itlay Rs175, New Zeleand Rs177.30, India Rs103.39, Sri Lanka Rs97.91, Nepal Rs102.10 and in Pakistan petrol was available in abundance at Rs70.29 per litre.
He said only Punjab province had played its role and reduced the fares of public transport. The federal government had written letters to other provincial governments to decrease transports fares too.
About rumours of increase in sales tax on petroleum products, he said the people were paying Rs18.36 per litre sales tax when the price were Rs107.97 and now they were paying only Rs19.32 as sales tax on Rs70 per litre. Therefore petroleum consumers were pocketing benefits of Rs 37.68 per litre.
Brushing aside the criticism, he said the net increase in sales tax of petroleum products was only 0.96 paisa per litre which was only 0.6 per cent.
Due to massive decrease in petroleum prices the government had to endure Rs40 billion deficit per annum in revenue collection as the petroleum income had dropped from Rs68 billion to Rs28 billion.
During the last 17 months, he said, economic indicators have shown significant improvement.
