No change in petrol prices, diesel jacked up by Rs7.50

Finance Minister Ishaq Dar announced on Friday that the petrol prices will remain the same but the diesel prices have been increased by Rs7.50 for the next fortnight. 

“There has been no increase in the price of petrol,” said Finance Minister Dar in a late-night press conference. However, he added that the diesel price has been increased by Rs7.50 per litre.

The finance czar also shared that the new price of diesel will come in effect from 12:00am on July 1. 

Considering the government's announcement the new prices are shown below:

Earlier, The News had reported a Rs5 hike is expected in the Petroleum Development Levy (PDL) on petrol and diesel with effect from July 1.

As per the report, the government was mulling jacking up the petroleum levy from Rs50 to Rs55 per litre of petrol and diesel.

The government will have to jack up the PDL from the start of the next fiscal year.

Through the Finance Act 2023-24, the government sought powers for amendment of the Petroleum Products (Petroleum Levy) Ordinance, 1961 (XXV of 1961) in the Fifth Schedule, in column (1), which empowers it to hike the petroleum levy.

Earlier, it required approval of parliament to fix the maximum limit of petroleum levy.

Now the Ministry of Finance has informed the Senate Standing Committee on Finance that the petroleum development levy was worked out at Rs60 per litre for achieving its target of Rs879 billion in the next fiscal year, against the revised target of Rs542 billion for the outgoing financial year 2022-23 ending on June 30.