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Govt Again Increases Petroleum Levy on Petrol, Diesel, High Octane

The government has further increased the petroleum levy on Motor Spirit (MS) petrol by Rs. 8.02, bringing it to Rs. 78.02 per liter for retail sales, according to the latest notification issued by the Ministry of Energy (Petroleum Division).

The decision comes into effect on April 16, 2025 (today).

The levy on high-speed diesel has been set at Rs. 77.01 per liter for retail sales, with direct sales incurring a higher levy of Rs. 86.66 per liter for petrol and Rs. 85.65 per liter for diesel.

Meanwhile, the levy on E-10 gasoline has been fixed at Rs. 51.53 per liter for retail sales and Rs. 60.17 per liter for direct sales.

The Petroleum Division has further raised the petroleum development levy on High Octane Blending Component (HOBC) to Rs. 78.02 per liter at retail outlets and Rs. 80.17 per liter for direct sales.

Products Petroleum Levy for Sales through Retail Outlets Petroleum Levy for Direct Sale
Motor Spirit (petrol) Rs. 78.02 per liter Rs. 86.66 per liter
HOBC (97 RON) & MS 95 RON Rs. 78.02 per liter Rs. 80.17 per liter
Kerosine Oil Rs. 18.95 per liter Rs. 18.95 per liter
High-Speed Diesel Rs. 77.01 per liter Rs. 85.65 per liter
Light Diesel Oil Rs. 15.37 per liter Rs. 15.37 per liter
E-10 Gasoline Rs. 51.53 per liter Rs. 60.17 per liter

This comes as the federal government has now opted to abolish the Fifth Schedule of the Petroleum Development Levy through a presidential ordinance, removing the legal cap on the maximum levy that can be imposed on petroleum products.

Previously, under the Fifth Schedule of the Petroleum Development Levy Ordinance, the government was restricted to imposing a maximum levy of Rs. 70 per litre. With the removal of this schedule, there is no longer any legal limit, allowing the government to set the levy at any rate it deems necessary.

The move grants the government greater fiscal flexibility but also raises concerns over further fuel price hikes for all consumers.

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  • ​Based on the most recent data from 2023, Pakistan’s gasoline (petrol) consumption is approximately 240,440 barrels per day. Given that one barrel equals 159 liters, this translates to:​

    240,440 barrels/day × 159 liters/barrel = approximately 38.2 million liters per day.​

    As of April 16, 2025, the government is charging about Rs. 96–97 per liter on petrol and diesel as taxes, which includes the petroleum levy.

    Using the consumption figure of 38.2 million liters per day and a petroleum levy of Rs. 97 per liter, the government’s earnings from the petroleum levy would be:

    Daily: 38.2 million liters × Rs. 97 = Rs. 3.7054 billion

    Monthly: Rs. 3.7054 billion × 30 = Rs. 111.162 billion

    Yearly: Rs. 3.7054 billion × 365 = Rs. 1,352.471 billion​

    These figures represent the estimated revenue from the petroleum levy alone, based on current consumption and levy rates.​

    The govt is just earning this huge amount just from the petrol, the other diesel, and income tax is extra. Still the govt needs more money for the corruption.

  • Shameless people with shameless actions. And they talk about normal people problem’s.


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