Petrol Levy Reduced After Revenue Target Met
The federal government has reduced the petroleum development levy on petrol by Rs40.49 per litre.
According to Petroleum Division sources, the levy on petrol has been brought down to Rs66.25 per litre from Rs106.74 per litre.
Officials said the decision was taken after the government achieved its petroleum levy collection target for the current fiscal year.
The move is expected to provide some relief to petrol consumers, especially private vehicle owners and motorcyclists.
Petrol remains one of the most widely used fuels in Pakistan. Any change in its levy can directly affect household transport costs and public sentiment.
Diesel Levy Increased by Rs19.71 Per Litre
While the levy on petrol has been reduced, the government has increased the petroleum levy on high speed diesel.
Sources said the diesel levy has been raised by Rs19.71 per litre.
It now stands at Rs72.97 per litre, compared to the previous rate of Rs53.26 per litre.
Diesel is widely used in goods transport, agriculture, and public transport. Any increase in diesel costs can affect freight charges, food prices, and overall inflation.
Officials said the combined levy collection on petrol and diesel now stands at Rs139.22 per litre.
This brings the average levy on both major fuel products below Rs80 per litre.
Petroleum Levy Remains Key Revenue Source
Petroleum levy has become one of the government’s largest non-tax revenue sources in recent years.
The federal government has relied heavily on fuel levy adjustments to meet budgetary needs and maintain revenue flows.
These collections are also important for supporting fiscal targets linked with the International Monetary Fund.
Officials said the latest adjustment reflects an effort to balance consumer relief with revenue requirements.
The reduction in petrol levy may ease pressure on consumers, while the higher diesel levy could raise concerns for transporters and businesses.
The overall impact will depend on future fuel price reviews and international oil market trends.
