Govt raises levy on petrol, diesel

ISLAMABAD: The federal government has increased the petroleum levy on petrol and high-speed diesel while leaving their retail prices unchanged for another week, despite a decline in international oil prices.

According to figures released by the Petroleum Division, the levy on high-speed diesel was raised by Rs6.57 per litre to Rs79.54 per litre. The levy on petrol was also increased by 39 paisa per litre, taking it to Rs66.64 per litre.

The government did not change the levy on kerosene oil, which remains at Rs20.36 per litre. Petroleum Division sources said the latest increase applies only to petrol and high-speed diesel.

The revision came a day after the government decided to maintain existing prices of petrol and diesel for one week instead of passing on the impact of lower international oil prices to consumers. Under the latest adjustment, consumers will continue to pay the same prices for the two main transport fuels, while the government’s share through the petroleum levy has gone up.

Kerosene and jet fuel prices reduced

At the same time, the government reduced the price of kerosene oil by Rs6.85 per litre. According to a notification issued by the Oil and Gas Regulatory Authority, the new kerosene price has been fixed at Rs227.05 per litre, down from Rs233.90 per litre.

The price of commercial aviation jet fuel has also been cut by Rs7.15 per litre. Following the reduction, the new rate for jet fuel used by commercial aircraft has been set at Rs231.72 per litre.

The latest changes mean the relief from lower international oil prices has not been passed on to petrol and diesel consumers in the form of lower pump prices, although kerosene and commercial jet fuel have become cheaper under the revised rates.