Govt increases petroleum levy on diesel

ISLAMABAD: The federal government has raised the Petroleum Development Levy (PDL) on high-speed diesel (HSD) by Rs7.50 per litre, ARY News reported on Sunday citing sources.

The PL on high-speed diesel has been jacked up from 32.50 rupees per litre to 40 rupees per litre effective from January 29.

A source in the petroleum division informed ARY News that govt is currently collecting Rs5.14 as OMC’s margin on per litre price of HSD and Rs 7 per litre as dealers’ margin. The sales tax on diesel is currently 0%.

The actual price of diesel excluding PDL and margins is Rs221.36 per litre, they say.

Similarly, the Petroleum Development Levy (PDL) on petrol is set at Rs50 per litre, while inland freight equalisation margin (IFEM) has been fixed at Rs9.33 per litre.

The government is collecting Rs6 as OMC’s margin on per litre price of petrol, sources say. The actual rate of petrol excluding PDL and other margins is Rs177.47 per litre, they added.

Govt jacks up fuel prices

Finance Minister Ishaq Dar on Sunday announced that the federal government has decided to raise the prices of petrol and diesel by Rs35 per litre, which will be applicable from 11am today.

In a televised address, Ishaq Dar said that 11 per cent increase was witnessed in the prices of petrol products in the international market.

Dar further announced that the prices of kerosene oil and light diesel oil have been increased by Rs18 per litre.

After the latest round of hikes, petrol will be priced at Rs249.80, diesel at Rs262.80, kerosene oil at Rs189.83 and light diesel at Rs187.