Prime Minister Imran Khan has rejected the Ogra summary forwarded by the Finance Ministry for hefty raise in the prices of petroleum products, reported 24NewsHD TV channel.

The prime minister on Saturday barred Ogra from raising the rates.

The Ogra has proposed to raise the petrol price by Rs11.53 per litre, high-speed diesel by Rs8.49, kerosene oil by Rs6.29 and light diesel by Rs5.72.

As the crude oil price in the international market has hit $85 per barrel, Ogra has submitted three proposals to the government regarding the prices of petroleum products.

As the international prices have been stable during the last 15 days, the government had bought oil at the rate of $85 per barrel.

At the moment the government is charging Rs5.62 levy tax on per-litre price of petrol whereas the rate of levy tax on diesel is Rs5.14.

According to sources in the Ogra, petrol and diesel prices can be brought down by waiving taxes.

The sources further maintained that the prices can be maintained by reducing to zero the rate of petroleum levy and general sales tax. There would be no reason to raise prices if the October 16 tax ratio is retained.

Another proposal is to raise the prices by rupees six to eight per litre. Petrol rate can be dearer by Rs6.50 per litre and diesel’s rupees eight per litre.

According to the Ogra sources, the Federal Finance Ministry will take a final decision about the prices in consultation with Prime Minister Imran Khan.

Reporter Awais Kiani