The Oil and Gas Regulatory Authority (OGRA) has advised against speculating on the prices of petroleum products, despite recent claims by federal ministers that fuel rates may be reduced in the next fortnightly review.

Caretaker Federal Commerce and Industries Minister Gohar Ejaz and Interim Federal Minister for Information and Broadcasting Murtaza Solangi had stated last week that petroleum oil and lubricants (POL) prices were likely to decrease due to the rupee gaining ground against the US dollar.

Over the past 14 days, the Pakistani rupee has appreciated by approximately Rs16 against the US dollar. As Pakistan is an importer of petroleum products and purchases them in dollars, the strengthening rupee had prompted expectations of a price reduction.

However, Ogra issued a statement emphasizing the importance of avoiding speculations regarding petroleum product prices. The authority explained that these prices in Pakistan are primarily influenced by international market prices and the exchange rate of the US dollar.

While there has been an improvement in the dollar-to-rupee exchange rate and a surge in international petroleum prices in recent times, Ogra noted that there is still one week remaining before the announcement of new prices. Therefore, any speculation about price increases or decreases during this period is highly speculative and could potentially disrupt the smooth functioning of the oil supply chain.