Fuel prices in Pakistan are expected to increase in the upcoming pricing cycle starting June 16, driven by a rise in global oil prices. Official sources suggest that petrol prices may go up by Rs. 1 per liter, while high-speed diesel (HSD) could see a sharper increase of Rs. 5 per liter.
Currently, the ex-depot price of petrol stands at Rs. 252.63 per liter. As petrol is widely used in private vehicles, motorcycles, and rickshaws, any hike in its price disproportionately affects low- and middle-income households.
High-speed diesel, priced at Rs. 254.64 per liter, is essential for the transport and agriculture sectors. It fuels buses, trucks, trains, and farm equipment—meaning a price increase will likely trigger inflation, especially in food and transportation costs.
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Although the government does not apply general sales tax (GST) on petroleum products, it collects significant revenue through other charges. Presently, Rs. 94 per liter is being collected through various levies, which include a Petroleum Development Levy (PDL) of Rs. 78.02 on petrol and Rs. 77.01 on diesel, along with a customs duty of Rs. 16 per liter on both fuels.
Moreover, an additional Rs. 17 per liter is allocated to oil companies and dealers as distribution and sales margins.
