ISLAMABAD: The government is likely to increase petroleum prices for the next fortnight from February 16, industry sources said on Saturday.

The insiders added that the petrol rate might be increased by Rs4.39 per litre, which, if approved, will bring it to Rs257.56 per litre from the existing Rs253.17 per litre.

High-speed diesel (HSD) price, they also said, is likely to be hiked by Rs5.40 per litre from the existing Rs268.38 per litre, which will bring it to Rs273.78 per litre.

Kerosene oil may also become expensive for consumers due to a possible increase of Rs4 per litre. Furthermore, the price of light-diesel oil (LDO) is also expected to increase by Rs6.55 per litre.

The final decision, however, will be taken by the Oil and Gas Regulatory Authority (Ogra) in consultation with the Ministry of Finance and the prime minister.

Previously, the government announced on January 31, the price of high-speed diesel by Rs11.30 per litre while keeping petrol prices unchanged.

Petrol is mainly used by commuters in small vehicles, rickshaws and two-wheelers. Higher fuel prices significantly impact the budgets of middle and lower-middle class households, who rely on petrol for daily travel.

On the other hand, a significant portion of the transport sector relies on high-speed diesel.

Its price is considered inflationary since it is predominantly used in heavy goods transport vehicles, trucks, buses, trains, and agricultural machinery such as tractors, tube wells, and threshers.

The consumption of high-speed diesel particularly contributes to the increased prices of vegetables and other food items.