Govt decides against raising petroleum prices

ISLAMABAD: The federal government has decided against raising the tariffs of petroleum products despite Oil and Gas Regulatory Authority’s (OGRA) recommendation to raise prices, Finance Minister Ishaq Dar said on Saturday.

OGRA had put forward a summary to the petroleum ministry proposing an increase in petrol prices by Rs2.12. According to the summary, the authority had recommended increasing the price of kerosene oil by Rs3.94, high-octane by Rs0.60 and high-speed diesel by Rs0.26.

Speaking to reporters in Islamabad today, Finance Minister Ishaq Dar said that OGRA's summary was rejected after Prime Minister Nawaz Sharif directed not to raise the prices.

He said that the current petroleum prices would remain unchanged until August 31, 2016. 

Finance Minister said the government will provide a subsidy of two billion rupees on the price of petroleum products.

Ishaq Dar said maximum relief on oil prices is being provided to people.

He said the prices of petroleum products in Pakistan are comparatively lower than other countries in the region.  

 

Talks on property valuation successful

Negotiations between the finance minister and property dealers also concluded successfully today, with both sides agreeing to the role of the Federal Board of Revenue (FBR) in the determination of fair market value of property.

According to the finance minister, tax will be applicable if property, bought on or after July 1 this year, is sold before the passage of three years.

He said it was also agreed in the talks that withholding tax will be applicable on properties worth Rs0.4 million, and not Rs0.3mn as previously proposed.