Govt increases levy on high-octane fuel by Rs200 per litre

Islamabad (Web Desk): Prime Minister Shehbaz Sharif has given approval for a substantial hike in the levy imposed on high-octane fuel, which is generally consumed by luxury vehicles.

The decision was finalized during a high-level meeting chaired by the Prime Minister through a video link, where discussions focused on fuel pricing and measures to ease economic pressure.

According to the revised policy, the current levy of Rs100 per litre on high-octane petrol will be raised by an additional Rs200, taking the total to Rs300 per litre.

After the revision, the price of HOBC has climbed to Rs535 per litre.

Officials clarified that this increase will not translate into higher fares for public transportation or additional costs for air travel.

The move is intended to redistribute the financial burden by placing it on more affluent segments of society, while keeping fuel rates unchanged for vehicles commonly used by lower- and middle-income groups.

It is also projected that the measure will generate around nine billion rupees each month in savings.

The prime minister has instructed that these funds should be directed toward initiatives that provide relief to the broader public.

Among those present at the meeting were Law Minister Azam Nazir Tarar, Finance Minister Muhammad Aurangzeb, Information Minister Attaullah Tarar, Petroleum Minister Ali Pervaiz Malik, along with other senior officials.