Petrol’s Actual Price Revealed at Rs211 per Litre as Tax Breakdown Emerges

LAHORE, June 22, 2026 — The actual price of petrol in Pakistan has been revealed to be Rs211 per litre, while consumers are currently paying around Rs299 per litre due to various taxes and levies imposed by the government.

According to sources in the Petroleum Division, approximately 29 percent of the retail price of petrol consists of taxes and duties. Out of the total price, Rs88.07 per litre is collected in the form of taxes, including Rs19.32 as customs duty, Rs66.25 as petroleum levy, and Rs2.50 as climate support levy.

Sources further stated that diesel is also subject to taxes amounting to nearly 29 percent of its retail price. A total of Rs91.15 per litre is charged in taxes on diesel, including Rs15.68 as customs duty, Rs72.97 as petroleum levy, and Rs2.50 as climate support levy.

Meanwhile, the federal government has issued a notification revising petroleum development levy rates, effective from June 20, 2026.

Under the new rates, the petroleum levy on petrol has been reduced by Rs40.49 per litre. As a result, the levy on petrol sold through retail outlets has been lowered from Rs106.74 to Rs66.25 per litre.

In contrast, the levy on high-speed diesel has been increased by Rs19.71 per litre, raising the petroleum levy from Rs53.26 to Rs72.97 per litre for retail sales.

The government has also reduced the petroleum levy on High Octane Blending Component (HOBC) by Rs214.49 per litre. Consequently, the retail-level petroleum levy on HOBC has fallen from Rs305.74 to Rs91.25 per litre.

The revised levy structure is expected to impact fuel pricing and government revenue collection in the coming months.