ISLAMABAD: Pakistani consumers are paying nearly Rs145 per litre in taxes and levies on petrol, according to a detailed price composition based on official data from the Oil and Gas Regulatory Authority and the Ministry of Energy.
The analysis, shared by Mountain Ventures — a Dubai-based energy and market advisory firm — shows that the maximum depot price of petrol stood at Rs414.78 per litre (effective May 9, 2026), of which Rs144.26, or 34.8 percent, consists of taxes and government levies.
The largest component is the Petroleum Development Levy (PDL), which alone accounts for Rs117.41 per litre. Customs duty contributes Rs24.35 per litre, while the Climate Support Levy adds Rs2.50 per litre.
The actual ex-refinery fuel cost is Rs246.76 per litre, making up 59.5 percent of the total price. Marketing and distribution charges account for Rs23.76 per litre (5.7 percent), including Inland Freight Equalisation Margin (Rs7.25), oil marketing companies’ margin (Rs7.87), and dealer commission (Rs8.64).
For high-speed diesel (HSD), the maximum depot price stands at Rs414.58 per litre. The fuel cost component is significantly higher at Rs314.16 per litre, representing 75.8 percent of the total price.
Taxes on diesel amount to Rs76.16 per litre (18.4 percent), including Rs42.60 under PDL, Rs31.06 in customs duty, and Rs2.50 as Climate Support Levy.
Marketing and distribution costs on diesel add Rs24.27 per litre (5.8 percent), comprising similar components to petrol, including freight margins, company margins, and dealer commissions.
The data highlights a significant disparity in the tax burden between petrol and diesel, with petrol attracting nearly double the taxes. Consumers are paying around Rs68 more per litre in taxes on petrol compared to diesel, largely driven by the higher Petroleum Development Levy applied to petrol.
Story by Ansar Abbasi
