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Documents reveal consumers pay Rs139 extra on petrol, Rs116 on diesel

MM News Staff by MM News Staff
August 10, 2026
Reading Time: 2 mins read

ISLAMABAD: Fresh documents have laid bare the extent of the tax burden on Pakistani consumers, showing that petrol and diesel are being sold at significantly higher rates than their basic cost, even as the government continues to defend its controversial pricing formula.  

According to the revelations, petrol is currently Rs139.93 per liter more expensive than its original cost, while high‑speed diesel carries an additional Rs116.10 per liter. 

Citizens are forced to pay Rs130.23 per liter of petrol and Rs116 per liter of diesel in levies, taxes, and margins alone.  

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The breakdown shows that the basic cost of a liter of petrol is Rs197.69, yet the current retail price stands at Rs327.62. This includes Rs80 as petroleum levy, Rs5 as climate support levy, Rs21.24 in customs duty, Rs7.48 as inland freight equalization margin, Rs7.87 as the margin of oil marketing companies, and Rs8.64 as the dealers’ margin.  

Similarly, the basic cost of high‑speed diesel is Rs264.76 per liter, while its retail price has been fixed at Rs380.86. The Rs116 difference is accounted for by Rs74.28 petroleum levy, Rs5 climate support levy, Rs15.68 customs duty, Rs4.63 inland freight equalization margin, Rs7.87 margin of oil marketing companies, and Rs8.64 dealers’ margin.  

These figures come at a time when the government faces mounting criticism for failing to deliver relief to consumers despite tall claims of international prominence. 

The disputed daily pricing formula has already triggered a nationwide strike by goods transporters, now in its second day, paralyzing supply chains and intensifying inflationary pressures.  

Economic experts warn that while the government insists on aligning domestic rates with international fluctuations, the heavy taxation structure itself is eroding affordability and fueling public frustration. 

For households, the reality remains stark: petrol and diesel prices far above pre‑war levels, with no immediate respite in sight. 

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