Govt extracts Rs4.4 trillion in fuel levy, puts relief on hold until next budget

Profit by Pakistan Today reported that the federal government has no immediate plan to lower the petroleum levy, with any phased reduction to be considered in the next budget. Planning Minister Ahsan Iqbal said a committee including government and Jamaat-e-Islami representatives would review possible relief measures.

The government collected Rs4.4 trillion from the levy between 2022-23 and 2025-26, Rs227 billion above its cumulative target. The current charge is Rs80 per litre, alongside a Rs5 climate levy and Rs20.56 customs duty; the levy collection target for this fiscal year is Rs1.676 trillion. Officials said the levy forms part of fiscal commitments under the IMF programme, while about 12.7 million people have registered for a separate low-income relief scheme.