Pakistan hikes diesel levy while slashing petrol charges
The federal government has made a significant adjustment in petroleum levies, increasing the charge on high-speed diesel while reducing the levy on petrol, according to official sources.
As per details, the government has raised the petroleum levy on high-speed diesel by Rs19.71 per litre. Following the revision, the levy on diesel has been set at Rs72.97 per litre, compared to the previous rate of Rs53.26 per litre.
Officials stated that the move reflects a recalibration of fuel taxation policy amid changing revenue and market requirements. High-speed diesel is widely used in transport, agriculture, and industrial sectors, making it a key component of the country’s energy pricing structure.
In contrast, the government has provided relief on petrol by significantly reducing its petroleum levy. The levy on petrol has been cut by Rs40.49 per litre, bringing it down to Rs66.25 per litre from the earlier rate of Rs106.74 per litre.
The reduction in petrol levy is expected to ease the burden on private motorists and small transport users, who are more dependent on petrol compared to diesel consumers.
Officials say the revised structure is aimed at balancing revenue needs with consumer relief, while also responding to fluctuations in international oil prices and domestic inflation trends.
The petroleum levy is an important source of non-tax revenue for the government and is adjusted periodically to manage fiscal requirements.
With this latest revision, diesel users will face higher taxation pressure, while petrol consumers are expected to benefit from reduced fuel costs, creating a mixed impact across different sectors of the economy.