Fuel prices in Pakistan rise as govt collects Rs12 trillion petroleum levy

Massive levy on fuel prices in Pakistan raises fresh inflation fears. File photo

| Published May, 12 2026 | Updated

(Web Desk): Fuel prices in Pakistan remained under focus after the government collected more than Rs12 trillion through petroleum levy in nine months.

The figures were presented before the National Assembly in official documents. According to government records, total petroleum levy collection during the first nine months of the current fiscal year reached around Rs12.5 trillion. The amount was collected from petrol, diesel and other petroleum products used by consumers across the country.

The documents showed that the government collected around Rs1.37 trillion in petroleum levy during March alone. In February, the collection remained around Rs1.20 trillion while January recorded nearly Rs1.24 trillion in levy income.

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Official figures further revealed that around Rs1.45 trillion was collected in July and Rs1.15 trillion in August. The levy collection stood at around Rs1.11 trillion in September and again increased to Rs1.45 trillion in October.

According to the documents, the levy collection reached around Rs1.51 trillion in November. In December, the amount further increased and was recorded at nearly Rs1.57 trillion.

The government documents also stated that around Rs35 billion has been collected so far under the Climate Support Levy. Authorities have set a target of collecting around Rs51 billion through this levy during the current fiscal year.

Economic experts said petroleum levy has now become one of the government’s biggest sources of income. They added that authorities are relying heavily on fuel-related taxes to meet budget targets and reduce the fiscal deficit.

Experts warned that rising fuel prices in Pakistan directly affect ordinary citizens. They explained that higher petrol and diesel costs increase transport fares, food prices, farming expenses and industrial production costs.

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Analysts believe the growing dependence on petroleum levy may continue increasing inflation pressure in the coming months. They say the public could face more financial burden if fuel prices keep rising further.