Government raises petroleum levy on diesel and petrol
The federal government has increased the petroleum levy on high-speed diesel and petrol, raising the tax burden on fuel products with immediate effect, according to official sources.
Under the revised rates, the petroleum levy on high-speed diesel has been increased by Rs 6.57 per litre, taking it from Rs 72.97 per litre to Rs 79.54 per litre.
The government has also raised the petroleum levy on petrol by 39 paisas per litre. Following the increase, the levy on petrol has gone up from Rs 66.25 per litre to Rs 66.64 per litre.
However, there has been no change in the petroleum levy on kerosene oil. The levy on kerosene will remain unchanged at Rs 20.36 per litre, providing some relief for consumers who rely on the fuel for household use.
Sources said the revised levy rates have come into effect immediately. A formal government notification is expected to be issued to officially confirm the changes.
The increase in the petroleum levy comes as the government continues to adjust fuel-related taxes as part of its fiscal policy. Although the levy is collected on petroleum products, it is separate from the actual fuel price determined under the fortnightly petroleum pricing mechanism.
The latest revision is expected to contribute additional revenue to the national exchequer. However, it may also increase concerns among transporters, businesses and consumers, who closely monitor fuel-related taxes due to their impact on transportation costs and overall inflation.
The government has not yet announced any changes to the prices of petroleum products themselves, with the current adjustment relating only to the petroleum levy.