Prime Minister Shehbaz Sharif has approved a major increase in the levy on high-octane fuel, which is mainly used by luxury vehicles, with the aim of generating funds to provide relief to the general public.
The levy has been increased by Rs. 200 per litre, raising the total from Rs. 100 to Rs. 300 per litre. As a result, the price of high-octane petrol is expected to exceed Rs. 530 per litre, although it may vary since it is not directly regulated by the government.
The decision was made during a video-link meeting chaired by the prime minister, where he emphasized that the financial burden should be shifted toward those who can afford it.
According to officials, the move is expected to generate around Rs. 9 billion in monthly revenue, which will be used to provide relief measures for the public.
The government said the step will help reduce economic pressure while ensuring that wealthier segments contribute more.
At the same time, authorities clarified that fuel prices commonly used by lower- and middle-income groups will remain unchanged.
Officials also stated that the increase applies only to high-octane fuel typically used in luxury vehicles and will not affect public transport fares or air travel costs.
The prime minister had earlier directed the relevant ministry to review high-octane fuel pricing and submit policy recommendations.
The meeting was attended by Finance Minister Muhammad Aurangzeb, Information Minister Attaullah Tarar, Petroleum Minister Ali Pervaiz Malik, and other senior officials.
