Comments on: PAC Recommends Reduction in Petroleum Prices

By: TruongNguyen

TruongNguyen — Sat, 09 Jul 2022 11:09:51 +0000

In reply to Khurram. "...well, the answer is simple, beggars cannot be choosers." With this single comment, I have now truly and completely understood Khurram's complete and real mindset. Now I know why he is the way he is. Everything is now crystal clear

By: Khurram

Khurram — Sat, 09 Jul 2022 05:45:53 +0000

A good question, well, the answer is simple, beggars cannot be choosers. Pakistan is on the brink of default and by keeping prices high people can be reigned in to control their expenses. For too long Pakistanis have tried outliving their incomes and now it is time to go back on living simply and within financial means. I hope the government raises the prices per liter by a PKR 100 at-least.

By: Pterol & diesel price should be constant for 10 yr

Pterol & diesel price should be constant for 10 yr — Thu, 07 Jul 2022 13:24:52 +0000

They should rather maintain the price and use it to give subsidies when the crude becomes more expensive. This additional money can also be used to upgrade the refineries to Euro 7 quickly and to achieve the dream zero MMT.

Sales tax is the domain of the provinces after 18th constitutional amendment in 2010. A few years ago sales tax was reduced to zero and introduced petroleum levy on the behest of IMF. So the provinces are earning nothing and the federation is using everything to pay off the loans. In this scenario how can the provinces make any developmental expenditures when their income is zero?

Petrol historically used to be at around 66 cents (US¢) and now it is at US$ 1.20 but still they are claiming losses? The math doesn’t fit.
Diesel used to be at half the price of petrol then around since 15 years ago it has usually always been at 70 US¢ and now the same high-polluting high-sulfur diesel is at 1.32 US$.

Consp. theory > IMF is also asking for deregulation of petrol price, it is less likely because Indus is going to launch hybrid vehicles https://carspiritpk.com/toyota-to-assemble-hybrid-cars-locally/ and the higher fuel price will give customers more incentive to pay higher initial cost of a hybrid.