The Government of Pakistan has decided to keep the petroleum levy unchanged on petrol and high-speed diesel while maintaining existing fuel prices.
According to a notification, the petroleum levy on petrol will remain at Rs. 105.37 per litre, while the levy on diesel will stay at Rs. 55.24 per litre. Petrol is currently priced at Rs. 321.17 per litre, and diesel at Rs. 335.86 per litre, until the next price review.
To keep these prices unchanged, the government will provide a subsidy of Rs. 23 billion for the period from March 14 to March 20.
Under this arrangement, the government will pay:
- Rs. 49.63 per litre subsidy on petrol
- Rs. 75.05 per litre subsidy on diesel
These payments will be made to oil marketing companies in the form of price differential claims after verification.
The subsidy will be disbursed through the Oil and Gas Regulatory Authority following verification and auditing of the claims submitted by oil marketing companies.
The government has also secured cabinet approval to establish a Prime Minister’s Austerity Fund. The Economic Coordination Committee has approved the transfer of Rs. 27.1 billion into this fund.
Out of the allocated amount, Rs. 23 billion will be transferred to OGRA to cover the subsidy payments intended to stabilize fuel prices.
Officials said the Director General (Oil) has formally written to OGRA regarding the implementation of the price differential payment mechanism.
