Diesel Price In Pakistan Is Likely To Increase By Rs 10 Per Litre
To meet the shortfall in revenue, the government has decided to increase the price of Petroleum Development Levy (PDL) over the next two months, which will result in an additional increase of Rs 10 per liter in the price of diesel.
While the government had set a target of collection of Rs 855 billion under PDL, the estimate was only Rs 680 billion. Therefore, to cover this gap of Rs 175 billion, the government has decided to increase the price of PDL on diesel by Rs 5 per liter from March 1 and by Rs 5 per liter from April 1, 2023.
At present, the government is levying a levy of Rs 50 per liter on petrol and High Octane Blending Component (HOBC) while diesel has a levy of Rs 40 per litre. Sources said that now it will also be reduced to Rs 50 per liter during the next two months.
Diesel is widely used in the agriculture and transport sectors, has a monthly consumption of more than 500,000 metric tons. Consumption in the 28 days of February was estimated at 565,000 metric tons. The price hike, however, is most likely to affect farmers entering the crop-sowing season – during which consumption typically increases.