Oil Price Differential Claims

On the directives of the Prime Minister, the Oil and Gas Regulatory Authority (OGRA) has received the first tranche of Rs. 27 billion from the Prime Minister’s Austerity Fund to settle the Oil Price Differential Claims (PDC).

The move comes as part of the government’s effort to shield consumers from the impact of rising oil prices in the international market.

The OGRA will release the PDC after the audited claims are submitted by Oil Marketing Companies (OMCs).

The funds have been arranged through various expenditure reduction measures implemented within the federal government and deposited in the Prime Minister’s Austerity Fund.

The government is also considering additional cost-cutting measures to ensure that the relief to the public is provided while staying within the budget and identifying additional savings.

Since March 1, the PDC has reached Rs 69 billion following absorbing the increased fuel prices impact.

Since March 1, the price of petrol and high-speed diesel (HSD) has increased by 20 percent, while the cost of fuel supply has increased by 150 percent.—WASIM IQBAL