The government has raised the petroleum development levy on High Octane Blending Component (HOBC) by Rs 20, bringing it to Rs. 70 per liter, according to the latest notification issued by the Ministry of Energy (Petroleum Division).
The decision comes into effect on March 29, 2025. (today).
The notification from the Petroleum Division specifies that the new petroleum levy rates apply to refined products from local refineries and imported petroleum products. The levy on motor spirit (petrol) and high-speed diesel has also been set at Rs. 70 per liter for retail sales, with direct sales incurring a higher levy of Rs. 78.64 per liter.
Meanwhile, the levy on E-10 gasoline has been fixed at Rs. 44.49 per liter for retail sales and Rs. 53.13 per liter for direct sales.
It also confirms that the petroleum levy on kerosene oil remains unchanged at Rs. 10.96 per liter.
The Oil and Gas Regulatory Authority (OGRA) has announced an increase in the price of kerosene oil. The new price has been fixed at Rs. 169.38 per liter, marking an increase of Rs. 1.26 from the previous rate of Rs. 168.12 per liter. The breakdown of the pricing structure includes an inland freight margin of Rs. 7.88 per liter, a dealer margin of Rs. 1.58 per liter, and other charges as determined by OGRA.
The OGRA notification further details that the maximum ex-depot sale price for kerosene oil will be applicable at 23 designated depots across the country, covering primary freight costs. However, for special areas including Balochistan, Azad Kashmir, and the Northern Areas, oil marketing companies (OMCs) are permitted to charge secondary freight to respective retail outlets.
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